Is it possible to finance a car while you are in Chapter 13 bankruptcy?
In Milavetz, Gallop & Milavetz, P.A. v. United States, 559 U.S. 229, the Supreme Court specifically found that “advice to refinance a mortgage or purchase a reliable car prior to filing because doing so will reduce the debtor’s interest rates or improve his ability to repay is not prohibited, as the promise of enhanced financial prospects, rather than the anticipated filing, is the impelling cause.