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New car after chapter 7?

SPS1985
Member

New car after chapter 7?

What are the chances of me getting a new car loan after bankruptcy? Also an idea of interest rate?

 

Some factors:

- Current credit score, 586, 595, 544

- 3,950 monthly income

- Prefect ontime payment for current car that I will let go in BK.

Message 1 of 11
10 REPLIES 10
Scupra
Super Contributor

Re: New car after chapter 7?

Most likely money down and a rate in the high teens.. The longer you wait, the better.
Filed BK7: 7/2012 (start score EQ 560 / TU 529) Discharge 10/2012
759 EQ FICO 03/2021
754 TU FICO 03/2021
743 EX FICO 03/2021
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Message 2 of 11
JAG73
Moderator Emerita

Re: New car after chapter 7?

I was able to get a new auto loan at 10% after my BK. Not ideal, but better than what I was expecting. It can get extremely better with good payment history. My current auto loan (the next one) is 0.9%. My BK is still on my reports. 

Got some pruning to do... No more new cards!
Message 3 of 11
SPS1985
Member

Re: New car after chapter 7?

My 431 meeting is mid April. Won't know until then if KMF will allow me to contineu paying on my car without reaffirming. Wish there was a way to get a new car loan before the meeting.

Message 4 of 11
rurahrah
New Member

Re: New car after chapter 7?

I know that you mean 341 meeting. You will actually start getting offers in the mail soon. Use KBB to see the value of your vehicle, sometimes it's better to just let the vehicle go if you owe more than it is worth. They also won't report to the credit bur. if you reaffirm.

Message 5 of 11
empire777
Regular Contributor

Re: New car after chapter 7?

Well i am still awaiting my discharge but i have an approval from New Roads Auto Loans for up to $29,294. Does not require money down and the interest rate is 15.90% for any car or 10.90 if i'm willing to get a CPO car from one of their dealers. Not the best but not the worst either. I am still waiting for discharge to try a few more banks.


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Message 6 of 11
Newstart2018
Valued Member

Re: New car after chapter 7?

I have seen a few people saying they were able to get a car loan after their 341 meeting but before discharge. Is that accurate? I thought you had to wait until discharge.

We filed last Tuesday and have already been mailed 4 offers from dealerships. I laugh every time. They don’t sound legit. But maybe they are.
BK 7 Filed: 2/13/18
Discharged: 5/17/18

CreditOne: $400
Message 7 of 11
Scupra
Super Contributor

Re: New car after chapter 7?

Plenty of predatory lenders will approve pre discharge.
Filed BK7: 7/2012 (start score EQ 560 / TU 529) Discharge 10/2012
759 EQ FICO 03/2021
754 TU FICO 03/2021
743 EX FICO 03/2021
$29k NFCU Platinum | $30k NFCU cashRewards Sig | $15k NavChek | $7.1k Cap1 Quicksilver | $10k Amazon Store | $19k Cap1 VentureOne | $16k Barclay Aviator | $5k Chase Freedom | $5k Chase Sapphire Preferred | $9k Costco Visa | $20k AMEX BCE | AMEX Gold
Message 8 of 11
empire777
Regular Contributor

Re: New car after chapter 7?

I just got approved and purchased a car before discharge

 

Carvana, 72months, 7.58% APR

i'm super happy with this as i am not even discharged 


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Message 9 of 11
Frozenpepsi
Established Member

Re: New car after chapter 7?

I only received offers from one lender for the entire process.
I guess that it varies based on location, idk.
EXP 633
EQ 659
TU 609
Message 10 of 11
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