These are concerning life after filing Chapter 7 in Florida...
1. When can you buy a home after filing for Chapter 7 if you have cash?
2. When can you try to purchase another vehicle?
Response 1: There is no time restriction. If you have cash, you can purchase the property.
Response 2: If you are buying in cash, you can purchase at any time. However, if you are getting a loan, most lenders would not extend financing to you because you are now considered a high credit risk. Until the bankrupt falls off your credit reports in 10 years, you would have a hard time getting financing from most reputable lenders. However, some lenders may extend financing to you right away at relatively higher interest rate.
So we do not need to wait for the 7 to be discharged to move forward, is that correct?
So we do not need to wait for the 7 to be discharged to move forward, is that correct? Response: No, that is not correct. You actually need to wait to get your Discharge Order and your case closed to proceed with your purchase. Otherwise, you would run into problem with the Chapter 7 Trustee as to how you would were able to get the money to purchase the property. Also, if you failed to get a Discharge Order, then your new property may be in danger of being taking by your creditors. So, you need to wait until after your Discharge Order and Case Closing before purchasing a new property. Remember that Discharge Order is not the same thing as case closing. Generally, the Court would close a case as soon as the Discharge Order is issued. Other times, the Court may leave the case open for several months after the Discharge Order for one reason or another. One of those reasons being to give the Trustee the opportunity to finish his/her investigations or to finish administering the bankruptcy estate.
I see. The paralegal we spoke to was wrong, then - told us we could go ahead and purchase another home right now; basically told us that anything purchased after filing the 7 was safe.
I see. The paralegal we spoke to was wrong, then - told us we could go ahead and purchase another home right now; basically told us that anything purchased after filing the 7 was safe. Response: No, it is not for the reasons stated previously.
Filing for bankruptcy protection does not guarantee that you would receive discharge of your debts— that your debts would be wiped out. Until your debts are discharged, until you receive a Discharge Order from the Court, you remain liable for those debts listed on your bankruptcy Schedules.
Thanks for the help
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