Questions about buying a vehicle b4 BK filed
Date: Fri, 10/16/2009 - 21:10
My husband and I are filing Ch 7, should have lawyer paid off in about 2 weeks and then they file about 2 months from now. 2 months ago we sold a car and a motorcycle for fair market value to people we did not know.
I would not be allowed to reaffirm my car loan as it is $941 a month so I need to buy a vehicle. We are looking at a $14k vehicle.
I tried to get a loan...didn't happen even with a co-signer. I can either pay cash for the car using the proceeds from the above mentioned sales and use my $3225 per vehicle exemption plus my wildcard exemption of $10k.....
Or my parents have offered to buy the car, or a car for me, and allow me to use it until my bankruptcy is final and I can then either get a loan to buy that vehicle or they will sell it if I want to get a different vehicle.
Is there anything wrong with having them buy a car for me to use until I can arrange financing after my Bk is discharged.
I would not be allowed to reaffirm my car loan as it is $941 a month so I need to buy a vehicle. We are looking at a $14k vehicle.
I tried to get a loan...didn't happen even with a co-signer. I can either pay cash for the car using the proceeds from the above mentioned sales and use my $3225 per vehicle exemption plus my wildcard exemption of $10k.....
Or my parents have offered to buy the car, or a car for me, and allow me to use it until my bankruptcy is final and I can then either get a loan to buy that vehicle or they will sell it if I want to get a different vehicle.
Is there anything wrong with having them buy a car for me to use until I can arrange financing after my Bk is discharged.
Since the vehicle would not be yours, you wouldn't list it as on
Since the vehicle would not be yours, you wouldn't list it as one of your assets. If any questions arise, which I wouldn't forsee, just be honest -- your parents let you drive their car. There's nothing wrong with that. If you pay them to use the car, or any gas/insurance/etc, you can still list on your petition as transportation expenses.
You will have to list any recent (within 1 year) sale of assets on the BK petition, so you'll have to state that you sold a car and motorcycle and for how much. It is possible, although not likely, that the trustee may want you to turnover those funds if still in your posession.
