Buying a new car b4 filing via home equity? Using cards for groceries.. wait period?
Date: Thu, 10/22/2009 - 19:58
I'm trying to determine the best course of action here, searching for some opinions prior to retaining my lawyer..(chap 7)
I have a 1999 grand prix gt with 200K miles on it, its averaged $200 per month in repairs over the last 3 years and is in need of more (its paid off, not worth much)...
I probably will offer this car as a temp car for my stbxw (divorcing/seperated etc)..
I was thinking chevy 2010 equinox, as we have 2 kids and it would be easier and justified (getting in and out):
Questions related to this are:
If i get a regular car loan, do i then have to wait 3 months before i can stop payment on my other credit card debt (cards)?
I was contemplating a home eq. line of credit, real good rate, low payments, which i can double up in a year or 1.5 years when i'm financially more stable.. but i fear the hearing judge will say, ok you spent $26K on a new car using the house equity, you must pay your creditors $26k to be able to procede (after i would have already stopped paying on my cards for a month).. is this a likely outcome, or would i be safe?
The other idea is to take a small 8k equity loan, use 4k down and the other 4k to offer up a settlement on my divorce mess.
Finally.. i dont have much credit room left, but if i were to put about $200 each week till it was used up on a credit card, to help offset some struggles, would this be justified, or would i also have to wait 3 months from last use on card to be able to file and get a hearing date?
The goal would be to establish the new vehicle and stop payment on my cards asap after that (retain at same time), otherwise ill be even more upside down than i already am.
Any thoughts.
I have a 1999 grand prix gt with 200K miles on it, its averaged $200 per month in repairs over the last 3 years and is in need of more (its paid off, not worth much)...
I probably will offer this car as a temp car for my stbxw (divorcing/seperated etc)..
I was thinking chevy 2010 equinox, as we have 2 kids and it would be easier and justified (getting in and out):
Questions related to this are:
If i get a regular car loan, do i then have to wait 3 months before i can stop payment on my other credit card debt (cards)?
I was contemplating a home eq. line of credit, real good rate, low payments, which i can double up in a year or 1.5 years when i'm financially more stable.. but i fear the hearing judge will say, ok you spent $26K on a new car using the house equity, you must pay your creditors $26k to be able to procede (after i would have already stopped paying on my cards for a month).. is this a likely outcome, or would i be safe?
The other idea is to take a small 8k equity loan, use 4k down and the other 4k to offer up a settlement on my divorce mess.
Finally.. i dont have much credit room left, but if i were to put about $200 each week till it was used up on a credit card, to help offset some struggles, would this be justified, or would i also have to wait 3 months from last use on card to be able to file and get a hearing date?
The goal would be to establish the new vehicle and stop payment on my cards asap after that (retain at same time), otherwise ill be even more upside down than i already am.
Any thoughts.
I'm not sure how it would go in BK, but think of it this way. Do
I'm not sure how it would go in BK, but think of it this way. Do you really NEED a 2010 Chevy Equinox? Couldn't you get a less expensive vehicle and use some of the home eq. money to pay down or pay off (or pay down) some of your cards?
It just seems to me that doing that might be a better solution than buying a brand new car and filing BK to clear the cards.
I'm not trying to be mean or anything, just adding my $.02. I'm sure someone will be along shortly to help you with your BK and CC questions.
