Determining if You Really Need a Bankruptcy Auto Loan

Determining if You Really Need a Bankruptcy Auto Loan

Determining if You Really Need a Bankruptcy Auto LoanMost 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, 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.

Auto Loans After Bankruptcy

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