01-11-2012 04:44 PM
So, it's been a loooooong few years but I paid my last payment on my Chap 13 Bankruptcy.. I received my trustee overpayment refund yesterday and after logging in and looking at Pacer, I see that the judge sent the final letter to my creditors that they have 21 days to object my request for a discharge :-).. With that being said, I've been combing these forums as I'm in need of a car... My current car has 191K miles on it and It's about to die... I pulled my FICO on this site and saw that it was a 590... There are a few accounts that need to be updated to show that they were included in my BK one of which was my previous auto loan.... The car started giving me problems in the middle of my BK and me and my lawyer decided that it was better to surrender the car than to pay the almost 4K to get it fixed... Anywho... I have been reading and I see that some people have a lot of luck with capital one... I currently make 42K per year and outside of my BK don't have may bills.. How do you guys think my chances will be to get an Auto Loan?
01-13-2012 11:31 AM
I was in your exact situation when I was discharged in Jan 2009.
Surrendered vehicle and recent BK (6 days).
I bought a beater and drove that for 2 yrs until I could afford a decent vehicle (used) with a good interest rate. My rate is 7.14% which is higher than if I didn't have the BK but not as bad as the Cap One rates.
IMO, this is the time to be very careful about picking up debt. It is too easy to fall back into the debt trap. Take advantage of your new found discharge by getting something cheap for cash while you plan your next vehicle purchase in a year or two. The worst mistake is to run out and get high payments - and they will be high because you have just come through a BK. Re-establish your credit first, then get a vehicle on payments if that is what you really want to do. I have to admit, driving a car without payments is a real pleasure.
01-13-2012 11:41 AM
Thanks... I know it's very easy to slip back into the dark hole I was in.. A lot of things have changed since then... I have grown older and matured... I was really young when I filed BK... 21<... I'm married now and have really learned a lot.. I'm ready to start rebuilding so I can get me a secured credit card and a few other tradelines so I can start my rebuilding process... I can't wait.. This feels better than Graduation ;-)
06-23-2012 11:32 PM
Cap1 isn't bad at all! I got approved for 2.82% interest rate and I love my Toyota Corolla! And I got $100 back from going to a Preferred dealer.
myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.>> About myFICO