In Oregon, the Confirmation Order approving your plan, states that you may not incur any credit obligations during the life of your plan without the Trustee’s written consent. The exceptions to this rule are limited to (1) in an emergency, or (2) for ordinary expenses for a business approved in your plan.

Any request for credit must be approved by the Portland Chapter 13 Trustee in writing before you obligate yourself in any way. The most common credit obligation you may wish to pursue is the financing of a car purchase. Make sure to contact your attorney before you buy a car or trade in your old one. Do not let a car dealer talk you into anything before your attorney has had a chance to get involved.

The Portland Chapter 13 Trustee regularly approves requests to finance new vehicles, so long as you and your attorney follow the proper procedure. That procedure requires that you supply the Trustee with some basic information on a form provided by his office and that you his approval before you commit to any obligation. Please remember that taking on any new credit obligations could jeopardize your plan and failure to get permission could result in your case being dismissed.  

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