Question about cars

[Draky]

So I posted this in the "Buying a car after BK" under someone else's thread but figured it was more appropriate to post it here.

My wife and I just filed and have our 341 meeting in a few weeks. We are going to be giving up both of our cars as we owe too much and they are both very high millage and starting to cost us too much money to maintain. My question is this, how do we get a car to continue to live life (you know, the little things like going to the store or taking the kids to the doctor when they are sick) if things aren't charged off before we surrender them?

We don't have much money at this point because of me losing hours at work and my wife getting laid off. Otherwise we'd just buy a $2000 cheap car to get us around.

Thanks in advance for the advise and insite.

[BassBoy]

More than likely, you won't be able to get any financing until your BK is discharged.

Unfortunately, it's hard to say when exactly the lenders will come for the collateral (the vehicles). If eother lender files to lift the stay, the lenders could repossess before the discharge. It's a crap shoot when you're surrendering vehicles, but don't have other means of transportation.

[lovebirds]

You should probably start looking for a cheap $2000ish car and avoid financing. Make sure the value is exempt if you haven't filed yet. How do you commute to work?

I recently purchased a high mileage Honda using my husband's back owed unemployment that we recently got after 9 months of waiting (Thanks Louisiana!) It was paid for 100% using these funds since I knew unemployment would run out soon and we budgeted our bills using only my income. Unemployment money was all savings for the new car.

[kym]

We did the same thing with surrendering 2 vehicles that we were upside down in... (even though one place still hasnt came to pick it up) We bought a cheap van.. until we are discharged.. (or it gives out...) If you live in a town that has public transportation that may help also...

[FS09]

FWIW - We had a 2008 Acura MDX on a 3 year lease. We were current on the payments until the month before we filed. It was financed/lease through Honda Financial. Honda filed for the relief from stay once they could after the 341 meeting. After the judge allowed the stay to be lifted, we got a letter from Honda a few weeks later asking if we wanted to become current or not. I told them no way. This was about 40 days into our 60 days. I was able to get them to hold off on picking up the vehicle for a few more weeks by being really nice! They picked it up 2 days after we were discharged.

[Draky]

I'm hoping that we can get one of the 2 cars not picked up till after the discharge. I'm looking for a second job because my wife cannot due to health. Starting next week my hours are cut and with 2 children we cannot even afford to throw $1000 at a car till I get a second job. And as you can imagine right now, it's pretty difficult finding a second job when I am limited on hours.
Thanks all for the replies!

[aljohnson007]

You could state you intend to reaffirm and this may allow you to continue to drive until discharged.