I would like to upgrade my derailleur and use a derailleur hanger for my next derailleur. Currently I have an old type of derailleur and so, the wheel does not sit back properly. I have had many problems in the past, but I would like to get that out of my mind and enjoy my rides with a derailleur hanger. I have attached a picture of the current setup.
Edit: The lockout is my problem. The other side has a huge gap, thus causing the wheel not to sit back properly as I said and the tire may make contact with the frame sometimes, as it has happened in the past. After a flat for instance, I need to position the wheel back at a special position so that it doesn't make contact to the frame. The current derailleur setup does no allow the wheel to have enough space on the horizontal lockout and I need to find the "perfect" spot or I will have problems. See how less the left side grips on the frame!
I don't really remember the year I bought it, let along the year of manufacture. But all I know is it was brought brand new (not used) before 2013 and after 2006. It had cantilevers with a diameter of 8mm and a fork with threads on, so it was difficult to find these parts to upgrade it. It's an Ideal bike made with a steel frame Edit: case closed! After being searching for my frame online, I found out a solution! Thank you all for your time, I really appreciate it!!