Post BK car purchase?
November 30, 2012 6:08 PM Subscribe
I have poor credit and need to get a car. What is the best way to go about this?
posted by anonymous to Work & Money (6 answers total) 1 user marked this as a favorite
My current car is starting to have a fair amount of issues and repairing it seems foolish. I've "lost faith" in the thing and would like a new, more reliable vehicle.
- I discharged Chapter 7 bankruptcy in July. Only debt I now have is $11,000 in student loans and $2300 on my current vehicle.
- I Make $52,000 a year and have been in the same job for 2 years, same field for 7. Job safety is high.
- I have low monthly fixed expenses. $600 rent, $290 car payment , $100 in student loans, $100 car insurance.
- I've had a perfect history of payments with my current vehicle for almost 6 years. I've only got $2300 left on the loan. Not discharged in BK.
- I can afford about $1500 down payment at the moment without too much stress.
Now, my questions:
1) I'd prefer to get a 2010/2011 certified pre-owned vehicle, but my understanding is that financing is very difficult to get on a used car with bad credit/BK.
2) I realize my interest rate is going to suck. What should I be aiming for? Anything to look out for they try to screw people with bad on?
3) Are there any good trade-in deals going on right now with Chevy dealers? Cash incentive-type programs? I have a 2005 Chevy Malibu.
4) I'm a Costco member, is it actually worth it to use their car buying program for somebody in my situation?
-No, I don't want to buy a used car for $3,000. I spend very little on myself and the one thing I really enjoy is a reliable car with a warranty. Also, I have to travel for work a fair amount.
-Please don't moralize about my bankruptcy. It was a complicated situation that came about after a failed relationship and extended unemployment, not because of financial irresponsibility.
*I'm sorry for the bluntness of the above two points, but I've read enough AskMe to know how this can go.
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