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After 341, Before Discharge: Can I trade in my car and get a new loan?

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    After 341, Before Discharge: Can I trade in my car and get a new loan?

    Hello,

    I have had my 341. I have about 60 days to wait until I get my discharge. I want to trade my [12 miles per gallon] truck in on a [32 miles per gallon] car.

    I will also be taking some cash out of the equity that I have in the truck to pay for a septic system repair on my house.

    Will this be OK? I know that this is a question for my lawyer, but I can't get him for another few days.

    Any thoughts appreciated.

    UAC

    #2
    Very few lenders will give you a loan until the bk is discharged. Reason is, they will violate the automatic stay by sending you a billing statement.

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      #3
      Thank you for responding. The finance manager at the dealership has told me that after discharge, none of the lenders that she deals with will finance me for a full five years. I had hoped that it would be possible for me to close this deal now, before discharge. I don't want to do anything that is not legal, or will in any way look bad to the Trustees. When you say "very few", do you mean that there are some lenders that will create a new loan with the automatic stay in place?

      Thanks

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