One of the most interesting parts of the conversation with a Trustee when talking about your options to go into bankruptcy or a consumer proposal is when they say…
“you should go get a new car…”
WHAT THE HECK a lot of people think, why would I go spend a bunch of money when that is exactly what got me here… spending and utilizing credit.
Here is what most people do not know… you are left with 1 of 2 options.
- You may qualify for a new vehicle, a brand new vehicle.
If you do, its likely best that you grab onto something that you can hang onto while the best interest rate you qualify for isn’t desirable as you now have a very bad credit rating.
2.You don’t qualify. This is where you want to take your steps very carefully. You might be in a better position to pay a higher rate on a different vehicle after filing instead of further accepting the huge loan you likely have from trading vehicles in and rolling in the upside down “negative equity”
You are in a 3-5 year repayment insolvency plan. Look at the options, you don’t want to make the wrong choice.
If you are going into or have filed for bankruptcy or proposal, AllCreditDrives.ca would be happy to give you some free advice.