Soliciting Opinions, Re: Purchasing a Vehicle Post BK

[BkinTX]

We currently have an '06 Ford Explorer. We are upside down on it by several k. Our family size has also grown and it is difficult fitting ourselves and our gear in our vehicle (family of 6 -- two in carseats).

We do not plan to reaffirm and will surrender or vehicle. We stopped making payments as of last payday. We will keep insurance current until it is repo'd.

DH is driving a vehicle he has borrowed from his parents. My FIL is a mechanic and they have many junker cars. This vehicle runs fine and looks nice. It has no a/c though and obviously does not seat 6.

When the SUV is repo'd all that will remain is the borrowed vehicle. We can make it work if we need to but it's not ideal. It gets very hot in TX in the summer and it will be difficult never going anywhere as a family, always leaving someone behind.

We are making a strong effort to build savings. I would like to purchase a used minivan for 3-4k at some point, but it will take time to save that much money.

My ILs (who know about the bk) have offered to take us to an auto dealership and finance a vehicle for us. We would make payments to them.

At first I was very opposed as the idea of financing anything sounds horrible to me. But the more I think about it, the more it sounds like a possible solution to our problem.

They have also offered us a junker 93 Plymouth Voyager (minivan) but it does not have a/c (FIL is working on it). I will be happy with this if we can get the a/c working. Although, I guess even w/o a/c it is at least big enough to transport the entire family.

If we allowed the ILs to finance something for us, we would choose something very inexpensive and aggressively pay on it.

Thoughts?

[Bell30656]

By the time your bankruptcy is discharged and closed... then the finance company gets around to repossessing your vehicle a neat thing will be happening... It's called Autumn and Winter. Suddenly air conditioning won't seem so important for a while.

[BkinTX]

You think we have that long? I keep panicking thinking it's going to be repo'd in the next month or two.

It didn't even occur to me that it would be Fall. Of course it's still hot here then but not nearly as bad. I don't care about a/c for me as an adult. Just for the little ones.

[RackingJ]

I'm kind of in the same boat. We have an 06 Explorer that will be surrendered in our BK, we owe WAY more than its worth. I'm laid off after this week so it won't be an issue this summer not having a car while my daughter is out of school. My mom said I could borrow hers to run to the grocery store or on days when we want to get out & about. But I will need a car this fall when she goes back to school & I go back to work.

I should have a couple of thousand saved this summer but everything I'm finding that is in working condition (not requiring a lot of repairs) on Craigslist is in the $5-6k amount. My mom said if I could save the 2k for a down payment she would try to finance the $3-$4k to make up the difference. I figured up the payments for year on that amount and with sending extra money with the payment, we should have it paid off in like 8mos or so. I really do not want to finance anything right now & make payments. would like to be able to save up and pay cash for that amount but I really need a car for work & school this fall.
I'm no help, am I? lol. I can't decide what to do either.

[Bell30656]

With a 341 date of June 11, figure 60 days until discharge... That puts you at Aug 11. Then the finance company hires a repo company... That should be good for another month at least.

Basically after the first of August you keep the fuel in the tank to a minimum and no personal items in the vehicle. Parking in a garage is usually quite helpful too.

I have a Ford Conversion Van sitting in my driveway. No payments have been made on it since November (I filed in December.). I listed it as a surrender in my CH7. To date it still sits out there. I still drive it every once in a while. I even renewed the tag in May and the insurance is still current. I'm sure one day I'll come out and it will be gone.

[HHM]

As much as we advocate a cash system, sometimes your needs cannot be met by cash on hand. For larger purchases, it is OK to use credit so long as you do it the RIGHT way.

Your on the right track, you should be looking at minivans and not SUV's. You should put some money down, at least minimally to pay the tax/title/fees (assuming you buy from a dealership).

[BkinTX]

RackingJ, wow, very similar situation!

I am a SAHM and the boys walk to school (we live very close to their school). We have been a 1 vehicle family before and it is certainly possible. The ILs loaned us the car to help DH save money on gas (driving an SUV to work was not a good choice).

Now that he has his own vehicle we have grown accustomed to the convenience of me being able to run errands while he is at work.

But we don't HAVE to have 2 vehicles.

Bell, that is amazing that it can take that long. WOW. What about car seats? No car seats in the vehicle starting around August?

HHM, thank you for the advice. I am really concerned about being financially sound from here on out and the idea of financing something scares me, but I also realize that financing an inexpensive vehicle and paying it off quickly is not the same thing as racking up thousands in cc debt.

[RackingJ]

I know. Funny how many people have so much in common around here. lol. That's great that your boys can walk to school.

I have another question if you don't care for me to hijak your thread. I'm wondering about when they come to get the vehicle. I know to have all the personal stuff out but do I need to keep the license plate and registration to turn in somewhere? I've cleaned out all our paperwork that has our name and adress on it except the registration, need that in case I get pulled over. The only thing of a personal nature is my daughter's booster seat. I'm just wondering about the plates & registration paperwork.

[BkinTX]

Ask away! I have similar questions/concerns.

[Bell30656]

I don't use the van much but I always pull my daughter's booster seat out when I park, as well as her little dvd/tv and anything else she brings on the road trip. Since I expected it to be gone long ago, I already have purchased another vehicle but the van still makes a nice spare. I've also become very good at anticipating how much fuel I will need for the use. I like it to be on E.

[doingpoorly]

If you are fortunate enough to have the ability to use a loaner car until you save enough for a 4000 mini van then that is what I would do. You must be in northern Tx if you can live without A/C in the fall. I wouldn't be able to live without it down here in S. Fl. ( I know it is hard to believe but we do have four seasons in Florida. They are hot, hotter, hotter than heck, and hurricanes. ) If you need to get one that is more expensive then at least you will have a big down payment and the monthly payments will not be to large. Either way not having the big suv and its payments will be a blessing by itself. LOL

I have a 06 ford expedition (those 06 fords sure were popular) that I intend to surrender if they don't come and get it first. The payment is due now and it won't be getting paid for the first time. I won't file until Aug 1st any idea how long I have with it? Does anyone think I will be able to keep it until after I file?

anyway.....
My question for those of you letting your vehicles go, is this...is anyone else having trouble coming up with enough expenses on the J if you don't have the loan expense to use anymore? and if you don't have a loan then you don't have a vehicle expense either right? That is a lot of money that won't be eaten up by expenses. What are ya'll doing?

How does that work if when you file you have no car because it was repo'ed and need to take out a loan to get one....then you will have the expense again. How do you deal with that?

[BkinTX]

No, it's still plenty hot here in the fall, LOL. I'm in Central TX.

[lolasaurus]

My thoughts:

Depends what you need specifically, but if and when I have to get a dirt cheap beater, I will select one of the following:

1. Geo Prizm. It's a rebadged toyota corolla, plain and simple. Even better, no one seems to know this unless they are car people, and geos are worth basically nothing, right? You can usually pick one up dirt cheap and they are pretty reliable.
2. Nissan Pathfinder, mid 90s. Again, you can pick them up dirt cheap, and they are nice if you need some more room. Also good for winter if you're in an area with snow.

These are some diamond in the rough type vehicles. There are others. Also, be smart - confirm that all the critical parts are working well. Check compression on the cylinders. Check if transmissions are slipping (Ideally go with a manual instead, and confirm the clutch is ok). Check that there are no leaks by looking at the bottom of the car to make sure (not under the car on the ground, they are good about making sure you won't see that. Look for residue where oil has been leaking for awhile.)

[BkinTX]

Thanks for the suggestions.

We're a family of 6, so the Prizm is not an option. The Pathfinder might work but it is difficult for us to fit the car seats and all the kids in an SUV.

I do appreciate the info, though!

[UhhhOhhh]

We currently have an '06 Ford Explorer. We are upside down on it by several k. Our family size has also grown and it is difficult fitting ourselves and our gear in our vehicle (family of 6 -- two in carseats).

We do not plan to reaffirm and will surrender or vehicle. We stopped making payments as of last payday. We will keep insurance current until it is repo'd.

DH is driving a vehicle he has borrowed from his parents. My FIL is a mechanic and they have many junker cars. This vehicle runs fine and looks nice. It has no a/c though and obviously does not seat 6.

When the SUV is repo'd all that will remain is the borrowed vehicle. We can make it work if we need to but it's not ideal. It gets very hot in TX in the summer and it will be difficult never going anywhere as a family, always leaving someone behind.

We are making a strong effort to build savings. I would like to purchase a used minivan for 3-4k at some point, but it will take time to save that much money.

My ILs (who know about the bk) have offered to take us to an auto dealership and finance a vehicle for us. We would make payments to them.

At first I was very opposed as the idea of financing anything sounds horrible to me. But the more I think about it, the more it sounds like a possible solution to our problem.

They have also offered us a junker 93 Plymouth Voyager (minivan) but it does not have a/c (FIL is working on it). I will be happy with this if we can get the a/c working. Although, I guess even w/o a/c it is at least big enough to transport the entire family.

If we allowed the ILs to finance something for us, we would choose something very inexpensive and aggressively pay on it.

Thoughts?

I filed back in Feb 08 and was discharged in June 08 - it was almost 6 months before Ford actually came and took the car. But I had already bought another one from a dealership (a used one) long before that (I bought it about 2 weeks after my 341 hearing) - so the person who said you would be into autumn before the car is taken was probably pretty close to correct. Hope that helps.