Having Fun Inc Blog

Many people that are going through the bankruptcy process didn’t know that you can buy a new car even though you are filing Bankruptcy, assuming, of course, that you can make the car payments.

If you are going to file chapter 7 Bankruptcy, and know that you will need a new car in the immediate future, it’s perfectly legal to buy one before you file. You have to make the payments on the vehicle, and you shouldn’t use credit cards or borrow money to buy it, but if you have the necessary down payment and the wherewithal to keep up on the monthly expense, than there is nothing wrong with the purchase. The car will become property of the bankruptcy estate so if there will be equity in it, check with a professional to make sure that it will be exempt.