Anybody ever get auto financing while pre discharge?

[pinkpeanut01]

DH and I bought a car just before he filed (I was discharged earlier in 2012). Unfortunately, that car was just totaled, ironically on the morning of his 341 meeting, which he had to miss. I am wondering if anybody has experiencing purchasing a car while in the middle of a BK? Is it even possible? I don't work, so I need his income to apply. And he needs my credit score. I wasn't even going to be on the loan for the now-totaled car, but he could only get approved with me as primary borrower. Two peas in a pod. Anybody have insight?

[nikcool]

My husband and I were able to. We went through a dealer that is known for bad credit financing. Our rate isn't great, but is better than our pre-bankruptcy car rate.

[ValleYum]

Do you not have collision insurance?

[pinkpeanut01]

We do have good collision insurance. But it is entirely going toward paying off the loan we had on the now-totaled car. We had only financed the car 6 months ago to have something reliable before he filed. He drives 1 hour to work each day, so we needed something we could count on. We had done things the "right" way a year ago and purchased a decent-running used car with cash from a trade, and then one day this past summer, it up and died and we were quoted $5000 to fix it. It was worth $4000. So, we financed the car that got totaled. Yes, we are on our third car in a year. After our $500 deductible, all but $100 of the insurance payout is going toward paying off the lien on the car he totaled. So we can't really buy a replacement vehicle for $100. Our insurance is actually giving us more money than we "paid" for the car (or financed for it).

Anyway, just an update in case anybody else in our situation comes across this thread in the future. The dealership we went to said it was a no-go. They told us no bank would even touch him since he hasn't even had his 341 yet. No way, no how. Thank goodness I have a WONDERFUL father who was willing to co-sign with me. With his 785 credit score and my 650 score 8 months post-discharge, we got a 6% interest rate, so not that bad. The car that got totaled was 10% interest, so it's an improvement on our payment. (I don't work, so I needed someone with income to sign with me.) I guess if you work with a really creative and gung-ho finance manager, there might be something out there in the middle of a Ch. 7, but not for us. I can't believe I'm an adult and my dad owns my car. At least we have something. Maybe he can sell it to us in a year and we can refinance or something.

[Drazil65]

Hi, just wondering what happened with your hubby's 341 meeting? Did they reschedule due to the accident or did your attorney appear and they did it anyway (just curious)? Glad your hubby was not hurt and it was just the car...keep us updated!

[pinkpeanut01]

Hi, just wondering what happened with your hubby's 341 meeting? Did they reschedule due to the accident or did your attorney appear and they did it anyway (just curious)? Glad your hubby was not hurt and it was just the car...keep us updated!

By that evening, PACER had been updated to show it was rescheduled to early January. His attorney said it was no big deal at all that he had to miss it, and the PACER update simply states the debtor was absent, case continued. I am not sure if the attorney went or not. It's been so crazy dealing with insurance and everything that I'm not sure he really followed up with her yet. Thanks for the well wishes for husband. He only got whiplash, not a scratch on him. Which is crazy, because there was a truck that crashed right behind him, and that gentleman didn't make it. So we are blessed despite the financial headache.