Most people need some sort of transportation to go about their day-to-day business, but if you’ve recently filed bankruptcy, you may need to determine if you need a bankruptcy auto loan. The answer isn’t always clear, and can depend on a number of factors. Today we’ll help you answer that question, and show you how to get started if a bankruptcy auto loan is right for you.
Type of Bankruptcy Filed
The first determining factor is whether you filed Chapter 7 or Chapter 13 bankruptcy. Since most Chapter 7 bankruptcies are discharged in a few months, it’s usually better to wait until the bankruptcy is discharged before you consider applying for an auto loan. Chapter 13 bankruptcies, on the other hand,
take 3-5 years to discharge, so you may find yourself needing a car loan for open bankruptcy.
Other Factors to Consider
There are a number of other factors to consider when determining if you need vehicle financing during bankruptcy. Some of these include:
- Were you able to keep your current vehicle under the automatic stay policy?
- Could you carpool with someone to get to and from work?
- Is your commute short enough that you could walk or ride a bicycle?
- Are you able to do most of your shopping in your neighborhood?
- Is there good public transportation where you live?
- Could you borrow a vehicle from a family member or close friend who has one that they don’t use often?
- Can you come up with any down payment that may be required?
Since each case is unique, your answers to these questions should help you determine if you really need a car loan following bankruptcy, or if you can wait until your credit improves. If you determine that you really do need a bankruptcy auto loan, BankruptcyAutoFinancing.com is here to help. To get started,
simply apply online today, and a bankruptcy loan specialist will match you with a local dealer who can get you into the car you need within just a few days.
Remember, we are not lawyers and cannot give legal advice. The situations discussed are only our experiences over the years and may vary with each customer.