Urgent car purchase help active chap 13

[max2k10]

I'm in desperate need of help in finding finding financing to replace my wife's lease which will end in 2 months. Long story short, I have been at this since March. In July I received pre approval letter from Capital One for a dealer in JC NJ. I took this letter and dealer called cap 1. Said I was approved and just needed judge letter. All this time I'm thinking they just needed the court approval for motion files to incur new debt. I received sales order from them. I took this to my attorney. Attorney cost to file $600. We filed motion on 8/1 for new debt of $456 monthly which got approved on September 11th. Well today I'm thinking I'm going to pick up our new car and now cap 1 is not approving financing. Said they needed the discharge letter all along. I told the dumb sales guy like 20 million times when I sat with him the first time and he told me all cap 1 needed was the motion approval. (Plan is to 2017 so long way to go).

Now my dilemma is I have no financing and in desperate need of finding a bank or whatever who can fund my purchase. I will need to file new motion again with my attorney at the cost of another $500 or $600.
This process has been extremely stressful and can't wait to get this over. And just to think I have another lease next year I have to replace. My luck.

Please suggestions needed for financing or dealer names in NJ that will work in open BK.
BTW. We applied with Roadloans and got approved but no dealers I went to would use their finance.

Sorry for this long post but really looking for anyone who can help.

[justbroke]

First, can't Roadloans provide a "blank check" so it does not matter which Dealer you go to? Also, I might call USBank that runs the 722 Redemption program for Chapter 7 debtors. The interest rates are high, but you understand where you are.

You should not need a new Motion.

If you have one of the Roadloans deals where they have "select" dealerships, then you must go to one of the Roadloans approved dealerships.

[angel2002]

Did you ask your attorney if there were any dealers that worked with bankruptcy cases? The only reason why I say that is because when we explained our situation to our attorney he pointed us in the right direction. We were financed through a company called Avid Acceptance at the dealership. Our interest rate is ridiculous but we had no other options so we ran with it. The good news is that we can very comfortably afford it and we are very pleased with it overall.

Best of luck to you!

[max2k10]

I just found a letter they sent me which has a VW and Ford dealer. I'm looking to get either a Nissan Altima or Honda Accord. Calling attorney Monday. Lets see what happens.

[KAM465]

I was in the same boat as you earlier this year. Was able to get financed through Friendly Finance out of Baltimore, the dealership I purchased the card from had never used them but was able to get set-up and financing approved in a few days.

There is also had approval through another dealer that approved me which I used for the Motion to Incure Debt and was able to use it for any deal I made as long as it fell with in the terms of what was submitted. Although our State and District may require different.

Prestige Financial out of Utah
https://www.gopfs.com/home.aspx

[max2k10]

Does anyone know if I'm allowed to obtain a car under my daughters name who lives with me and car insurance is under my name? I posed this question to my attorney and she thought this could be done. Has Anyone done this while in active bk? My attorney suggested I use Santander for financing but I could not find a dealer to use them in NJ. I tried 7 different Nissan, Honda and Toyota dealers and all said no. They were not willing to eat up the fee charged by Santander. And I was not willing to have a couple grand added to my deal with those fees. Felt high interest rate was enough.

[AngelinaCat]

Does anyone know if I'm allowed to obtain a car under my daughters name who lives with me and car insurance is under my name? I posed this question to my attorney and she thought this could be done.

We purchased a used truck earlier this year for our God-daughter. The loan is in 'Hub's name through our CU, as her credit is zilch and cannot get financing. But the insurance has to be in 'Hub's name because the loan and title (when we're through paying for it) will be in 'Hub's name. So your attorney may be mistaken. Is your daughter an adult or is she still underage?

[max2k10]

My daughter is turning 22 and has a 720+ credit score. She recently bought a new car in May so not sure is she would even get financing. Thinking for us is to have her finance the car under her name and we make the payments. This is what we are trying to determine If it's even possible or allowed.

[max2k10]

Wanted to provide and update on this whole car purchase nightmare. Went to Honda dealer in NJ who was able to get financing approved thru Santander at the rate of 20% and a million dollars in hidden fees. I can't believe they want $590 a month for 72 months for a 24k Accord. No way in hell will I pay almost 40 grand for freaking Honda.car. That is just totall insane. Even a used Accord they wanted $480 a month. At this we are really just considering our 4k deposit for a used car and just wait this out. We are also trying to see if my daughter will get approved for financing and we can somehow purchase any car under her name. Still waiting for my attorney to see if that's even allowed. I have to find a way to get thru this without being ripped off.

[AngelinaCat]

Unfortunately, you will get ripped off, unless you know an honest used car dealer and have dealt with them before. When trying to purchase the aforementioned truck for God-daughter, we went to the three big name auto dealers in town. Unfortunately all three are owned by the same person.

We told each dealer up front, not to bother with trying to get financing through their banks, etc., as we would ONLY go through our CU. That didn't stop them; they tried it anyway and kept jerking us around and making us wait in their offices. I was almost late for work. The result was outrageously high financing, and three hard pulls on our credit rating.

We told those three where they could go, and the best mode of transport to get there. We went to our used car dealer friend and got a decent truck at a decent price. Unfortunately, the rate of interest is a little bit higher than it would have been had the trio not done the three hard pulls.

[max2k10]

Can anyone advise on the idea that I can purchase a car under my daughters name and I make the payments while in this BK? I'm trying to see if this is even an option as not sure if she will get the financing.

[dmc-2008]

I don't see how it could be bad or illegal! Your daughter has a right to buy a car. If you have $ to help her pay for it, good for you for stretching your budget! I think the insurance is the tricky part but can't you get insurance that covers you on any car you drove anyway?

I don't think this is a prob but I would wait to hear from LITR!

[max2k10]

Well, so much for trying to get our car financed thru my daughter. Unfortunately, banks turned her down. They said she was too young for 2 cars. Now onto plan z whatever that is. Tempted to take a loan against my 401K but that's my last option. It's starting to look more like a used car for now. Might try a different dealer tomorrow under my wife's name but because she is in the BK, probably a waste of time.

[justbroke]

I was just having this conversation with a friend of mine who balked at high payments. Even at 0%, a $24,000 car is going to cost $400/month. (That's straight math at 24,000 divided by 60 months.) The fact is that car loans, regardless of the interest rate, are going to be more expensive. For every $1,000 loaned, you typically have a payment of about $16.71 at 0% interest. Of course that number goes up as the interest rate increases.

For someone in bankruptcy or near bankruptcy, a vehicle loan at 17% and 20% are not too different. At 20% on a $24K loan, that's a payment of $580/month (so Santander is correct and there are no "hidden" fees -- typically fees are loan recording and lien processing fees which are standard in the marketplace). At 17%, your payment would be about $535/month or about $25/month different for 3% points. Remember that this is about risk.

My bottom line is that cars are expensive. Even at 0%, your payment on $24K would be $400/month on a 60-month loan $24K loan. I wonder what your auto-ehanced score stands at. That is one of the major factors in the rate.

A 401K loan would be cheaper (at about 4.5%), but the payment would $450/month for 60 months (I think the max term is 5 years on most 401K's for general loans).

[max2k10]

Honestly, the high payments has always been the reason why we have leased the last few years. My last financed car was my 04 Maxima which I paid $425 a month. That's the highest amount I have ever paid. My 2 leases now are $348 and 230. Of course, I am now learning about the mistakes of leasing. New car every 3 years but never ending car payments which now I see it as a big waste. Had my cars been financed or paid off, all would be Ok.