Question about buying a car and help with expenses

[limegreen260]

DH and I are hoping to file Ch. 7 soon and we're currently working on our Schedule J. Right now, we have about $450-$500 that we need to assign to expenses in order to qualify.

My first question is this: We have an older truck that is needing considerable work in order to keep it running much longer. My DH's boss always is in the business of selling cars and would sell us a 2001 minivan for $4,000 and take $60 a week from DH's paycheck. Could we buy this vehicle and then include the payments on our expenses or would it raise red flags?

Also, can you guys help me with my expenses? This is what I have so far for 2 people in Indiana:
Mortgage $494.07
HELOC $194.00
Heating/Elect. $363.00
Water/Sewer $35.00
Telephone $45.33
Internet $45.33
Trash
Cell phone $93.89
Cable $45.33
Home Maint. $65.00
Food $550.00
*Clothing $150.00
Laundry $15.00
Medical/Dental $96.00
Trans. $250.00
Entertainment $100.00
Charity
Insurance:
Life $60.00
Health $188.28
Auto $100.75
Auto Pymnt. $319.81

Pet $40.00
Student Loans $180.00

Total: $3,430.79

Clothing seems high but I work in a professional setting and DH goes through a lot of work boots, gloves, and heavy socks.

[AngelinaCatHub]

It looks like you have your budget well in hand. Now remember you are allowed to keep a car worth only 1K. Your Hub’s boss will have to be notified as a creditor, is that OK with Hub? The van deal sounds like a good deal.

About helping with your budget. For food Angelfoodministries.com is wonderful and you get about $80 of good food for $30. No restrictions and can purchase as much as you wish. Get rid of phone as you have high speed Internet go to MagicJack. You must leave your computer up at all times as this is voice over IP. It won’t hurt your computer to leave it running. MagicJack is $20 a YEAR. Starting the first year at $39 for the Jack and one year. It works quite well. All LD is free and 411 free and voice mail. This will save you $543.96 less $39 the first year. Angelfoodministries will save you much in your food bill. ‘Hub

[limegreen260]

Not sure about the 1k value, you mean equity right. We're keeping our 2005 Beetle that's worth about $11k but I owe $10,800 on it per our atty. This minivan has a salvage title because it was lightly wrecked then repaired. (DH saw it wrecked so he knows it really was light.)

You mean after the BK is over right? We don't want to reduce expenses now before we file. In fact, I need more or else it's Ch. 13 for us.

[AngelinaCatHub]

You mean after the BK is over right? We don't want to reduce expenses now before we file. In fact, I need more or else it's Ch. 13 for us.

Yes, I did mean after your discharge. Also if able, hold off on the car. You can pay through that debt, and lower your money that way or state that the car is actually worth less than you purchased it as a salvage Title. That should work. You won't have any real trouble about the car. Hub needs to get to work someway and is seems like a good deal. 'Hub

[fltoo]

To answer your question about raising expenses, I think, if the truck is undriveable or too expensive to fix, buy the van and include the boss as a creditor. Tell him what you are doing and tell him that you will continue paying the loan.

Is the truck worth anything? Maybe you can barter with the boss to use it as a small down payment on the van.

I don't think your clothing expense is high at all.

[spearmint]

WOW! I went to angelfoodministries.com. I can't believe the terrific menu for $30!!!!!!!!!!

Cany ANYONE get this?

[limegreen260]

To answer your question about raising expenses, I think, if the truck is undriveable or too expensive to fix, buy the van and include the boss as a creditor. Tell him what you are doing and tell him that you will continue paying the loan.

Is the truck worth anything? Maybe you can barter with the boss to use it as a small down payment on the van.

I don't think your clothing expense is high at all.

The truck needs around $1500 in work done to it. We'd probably get it fixed but truthfully, we need another car payment in order to get our disposable income down so we can file a 7. I'm terrified of a 13 after reading others stories.

Once we're not paying $1000 a month in credit card payments, we can easily afford the payment.

Our problem is that we make enough to keep paying our bills, but only the minimums plus a little more on the credit cards. Last month I paid $500 on our Amex and 2 days later they added $286 in interest. $100 went to our Juniper card then they added $64 in interest. I don't know what else to do except file bankruptcy.

[relief13035]

WOW! I went to angelfoodministries.com. I can't believe the terrific menu for $30!!!!!!!!!!

Cany ANYONE get this?

Yes anyone can receive food from them. Just make sure you place your order by the deadline and then on the delivery date you go to pick it up. We get it every month for my mother-in-law. She is on a very fixed income and she has plenty to eat now.

[keepmine]

If you buy the van, be sure a contract is in place AND, his boss properly perfects the lein. If he doesn't the trustee could very well snatch that van and leave you and your boss high and dry.

[TEW]

WOW! I went to angelfoodministries.com. I can't believe the terrific menu for $30!!!!!!!!!!

Cany ANYONE get this?

DW and I are going to give a try this month