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Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furniture

New Member

Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furniture

Okay, Y'all.  

 

I'm new here, so please be nice!  Cat LOL

 

Was struggling to make ends meet for a while and lost my job of 12 years in May.  I filed Chapter 7 on 6/27 and I had my 341 meeting on 8/15 and am waiting for everything to be discharged here in West Virginny (hush).  

 

I included several unsecured credit/store cards and the secured items were vehicles and furniture.  I'm going to surrender the vehicles and because the furniture company wouldn't work on the reaffirmation, I guess I'm going to have to surrender that, too.  I'm reading different information about whether furniture companies will come and repo their stuff.  I'm guessing mine will because they wouldn't work with me on reaff.  Thoughts?

 

Also, would love your thoughts on:

 

-Best auto loan company to apply with ASAP after discharge...preferably a "blank check" deal so I don't have to come up with a down payment.  I'm po'.

-Best furniture loan to get ASAP after discharge

 

I'm living on unemployment right now so I'm not sure anyone will approve me for credit anyway.  Would love the info regardless in case God smiles upon me and I get a job!

 

Thanks in advance for your time!

 

Anna

Message 1 of 13
12 REPLIES
Established Contributor

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni

Welcome to the forums!

 

I think you need to read this post of mine before you do ANYTHING: http://ficoforums.myfico.com/t5/Bankruptcy/Something-ALL-of-us-BK-people-need-to-remember/m-p/228491...

 

Ok, now that you've read that, please do not fall back into the trap.  For your situation, I'd use cash to buy some ridiculously cheap (like <$1000) car that will get you from A to B and nothing more.  I'd also pay cash and buy some ridiculously cheap furniture on craigslist... but, I'd make sure I ONLY bought what I specifically NEEDED.  Trying to keep yourself at your standard-of-living after a BK when you're still unemployed will just lead to really bad things down the road.

 

To add to that, I might not buy a bed on craigslist, because I hate bed-bugs.  Most stores will sell twin beds (that will do just fine for a year) for $99 or queens for $199.  You don't need a frame, just a mattress and box spring.  If you could find a futon that is $199 or less that takes care of a bed and a couch!

 

The added reason I would go this route is that you're on unemployment and unemployment will eventually run out if you don't get a job.  So, assuming the worst case scenario (which you should always do when you're figuring things on credit) you'll wind up late/repoed post the BK when you can't pay those new debts.  This will literally ruin your credit profile for 7-10 years, with little or no hope for recovery.  I suppose it all goes back to the old addage: never buy on credit what you can't afford to pay for with cash.  It's grandma's advice, but it's REALLY GOOD ADVICE.

 

So, buckle down, beans-and-rice and all that living po' jazz, and you'll come out of this perfectly fine.  You may also have a month or so after discharge before they contact you for the surrenders, so use that time to save the cash.

 

Good luck and cheers,

 

-SM

I am not an attorney and none of what I write should be construed as legal advice. For legal advice please consult an attorney.

Starting Score: ~470 preBK(8/2010)
Current Scores as of Late January 2016 All 700+. Last CR pull from a lender(housing) was mid-score 749.
Goal Score: 700+ - reached.
Message 2 of 13
Frequent Contributor

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni


txangel24 wrote:

Okay, Y'all.  

 

I'm new here, so please be nice!  Cat LOL

 

Was struggling to make ends meet for a while and lost my job of 12 years in May.  I filed Chapter 7 on 6/27 and I had my 341 meeting on 8/15 and am waiting for everything to be discharged here in West Virginny (hush).  

 

I included several unsecured credit/store cards and the secured items were vehicles and furniture.  I'm going to surrender the vehicles and because the furniture company wouldn't work on the reaffirmation, I guess I'm going to have to surrender that, too.  I'm reading different information about whether furniture companies will come and repo their stuff.  I'm guessing mine will because they wouldn't work with me on reaff.  Thoughts?

 

Also, would love your thoughts on:

 

-Best auto loan company to apply with ASAP after discharge...preferably a "blank check" deal so I don't have to come up with a down payment.  I'm po'.

-Best furniture loan to get ASAP after discharge

 

I'm living on unemployment right now so I'm not sure anyone will approve me for credit anyway.  Would love the info regardless in case God smiles upon me and I get a job!

 

Thanks in advance for your time!

 

Anna


Have to agree with SM Anna. While I think rebuilding is important and should happen as quickly as possible, I think your income situation being what it is, I would certainly do things a bit different. I'm a bit surprised the furniture company wants the stuff back. It will cost them money to get it, and they likely can't resell. So if they re-purpose the furniture, they will loose even more money. 

 

Anyway, If I were you, I would buy a cash car. Craigslist is awesome for cheapies under 1k. I would not take out a loan for new furniture. Craigslist and thrift stores for the bare minimum until your income is restored and you have more disposable. Unemployment income is actually income! You should still read SMs thread on rebuild and plan accordingly. 


Starting Score: 501
Current Score: 754 EQ,TU 745,EX 750
Goal Score: 800

Message 3 of 13
New Member

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni

Hiya, Soul Master. 

 

Somehow I just *knew* you'd be the first to reply and I wasn't disappointed!  Thanks.  

 

I read your post and it makes a lot of sense.  BTW...I worked in real estate for years and the idea of buying used furniture because of bedbugs scares the holy pesticide out of me! They can live in items other than beds.  We've found eggsacs in the wooden legs of couches, in the screw threads of the knobs of dressers and even inside the holes that hold shelves into bookshelves!  ::shiver::   I will figure something out.

 

As for the car...last time I bought a "beater", I spent way more in repairs than I did on the car.  I'm a bit concerned about that aspect of it.  Your advice is good...I just need to get my head on straight I reckon. 

 

Thanks!!

Message 4 of 13
Established Contributor

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni


txangel24 wrote:

Hiya, Soul Master. 

 

Somehow I just *knew* you'd be the first to reply and I wasn't disappointed!  Thanks.  

 

I read your post and it makes a lot of sense.  BTW...I worked in real estate for years and the idea of buying used furniture because of bedbugs scares the holy pesticide out of me! They can live in items other than beds.  We've found eggsacs in the wooden legs of couches, in the screw threads of the knobs of dressers and even inside the holes that hold shelves into bookshelves!  ::shiver::   I will figure something out.

 

As for the car...last time I bought a "beater", I spent way more in repairs than I did on the car.  I'm a bit concerned about that aspect of it.  Your advice is good...I just need to get my head on straight I reckon. 

 

Thanks!!


Nah, only beds have bedbugs!  Also, you can spray them down in the garage before you bring them in side.  Eggsacks are from spiders, not mites... mite eggs are solo and smaller than rice.  Walmart and Amazon also have really cheap put-together-yourself furniture that will get you by.

 

Crud, I had my clothes sorted in piles on the floor for a year or so when I was really poor.  Had a twin bed (on the floor) and a bean bag chair.  Then added a desk and folding chair.  Total cost, <$200.

 

Gotta get the right beater... it only needs to get you from home to interview and back (pick up groceries while your out for interviews).  Also, you have a computer, so go here:  http://www.huffingtonpost.com/2013/06/27/jobs-you-can-do-from-home_n_3505353.html .  Find a mechanic friend who can find you a car that will work.  There are thousands out there, it's just a matter of picking the right one.

 

Anyhow, glad you're listening... and good luck!  We're here for you!  Did I suggest getting Dave Ramsey's Total Money Makeover?  Might be worth it... some good rice and beans plans in there.

 

-SM

 

 

I am not an attorney and none of what I write should be construed as legal advice. For legal advice please consult an attorney.

Starting Score: ~470 preBK(8/2010)
Current Scores as of Late January 2016 All 700+. Last CR pull from a lender(housing) was mid-score 749.
Goal Score: 700+ - reached.
Message 5 of 13
New Member

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni

Oh, I assure you they are bedbugs and you can get them anywhere...I've even seen them in cinder blocks.  I call them "egg sacs" but they lay eggs one at a time though in a cluster.  Blark!  While they don't carry pathogens, they are still nasty little suckers.  Spraying the boogers with alcohol will kill them, but heat is the only sure-fire way to eradicate them in a home or apartment.  Let me get off my bedbug soapbox and stop hijacking my own thread!  

 

I've been wanting to check out Dave Ramsey but have never had the money.  I'm not as concerned about furniture as I am a car.  I can get by with what I have and honestly don't NEED much.  Just never thought I'd be 40 and living in the land of the beanbags!  Smiley Wink

 

Don't have many friends out where I live....guess it's time to make some.  I had moved out here a year ago to save money and was commuting to work to the DC area.  Definitely will check out the work from home stuff you sent...that would be a bit of a Godsend!  ::dreaming about NOT having a commute:: 

 

Thanks again for all your help.  

Message 6 of 13
New Member

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni

Hi.  Thanks for your response.  I know...I know, SM is right (as always!).  Like I said, I need to just relearn how to think about this stuff.  ::sigh::

 

I don't know for sure if the furniture company is going to repo my stuff...it's just a guess based on the fact that they wouldn't negotiate on terms for reaffirming.  My atty said this means they will just repo stuff and when I was originally in the showroom "buying" the stuff, I looked at some "pre-owned" furniture they had repoed from someone else.  It's a local place and I guess they are big on principal?  That said, my stuff is in perfect condition (except the lawn mower....don't ask) so they shouldn't have trouble selling it. 

 

I appreciate your input!  

Message 7 of 13
Established Contributor

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni

Dave's book is in the library... totally free.  I think the audio-book is a dollar today.

 

Also, DC's metro rail system is great... I use it all the time.  1/2 the people there don't even have cars!  Also, BFD on the 40 w/ beanbags...  I was 35 and living with my MOTHER.  Grr!  Thank the PTB that's over!

 

-SM

I am not an attorney and none of what I write should be construed as legal advice. For legal advice please consult an attorney.

Starting Score: ~470 preBK(8/2010)
Current Scores as of Late January 2016 All 700+. Last CR pull from a lender(housing) was mid-score 749.
Goal Score: 700+ - reached.
Message 8 of 13
Established Contributor

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni

Note to all the hot chicks:  I no longer live with my mother.  ;-)

 

-SM

I am not an attorney and none of what I write should be construed as legal advice. For legal advice please consult an attorney.

Starting Score: ~470 preBK(8/2010)
Current Scores as of Late January 2016 All 700+. Last CR pull from a lender(housing) was mid-score 749.
Goal Score: 700+ - reached.
Message 9 of 13
Moderator Emeritus

Re: Post-341, Pre-Discharge of Chapter 7...trying to come up with a game plan! Need a car and furni


SoulMaster wrote:

Note to all the hot chicks:  I no longer live with my mother.  ;-)

 

-SM


Me neither....  Just with the wife.  Smiley Happy

Starting Score: 504
July 2013 score:
EQ FICO 819, TU08 778, EX "806 lender pull 07/26/2013
Goal Score: All Scores 760+, Newest goal 800+
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Current scores after adding $81K in CLs and 2 new cars since July 2013
EQ:809 TU 777 EX 790 Now it's just garden time!

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Message 10 of 13