Upside down w/jeep payments...advice please?

Question

I have a 2004 Jeep Wrangler, good condition. I am upside down w/my payments and need out asap. My monthly payment is so high and my interest rate is 6%. I have tried to sell it, trade it in. I am unable to get close enough to my payout. I am unable to refinance...credit not to good. Does anyone have any suggestions? My monthly payment is killing me!!!

Thanks.

When I made this purchase my living sit. was different and I was able to afford the monthly payment.

Answer 1

Try to sell it out right to someone. Do not, I said do not do a Voluntary Repossession. This is just as bad on your credit as a repo, when it comes to getting a new loan. Bad is bad. Think about it, whether the bank takes it cause you don't pay or you drop it off and the bank still has a balance left owed. It is still bad. 6% is not a bad interest rate. You could try trading it in. This is a possibility that the dealership could have just the right car to bring you out from under your problem. Check out all options and pick the best.

Answer 2

You will still be upside down with your payments if you trade it in. It just refinances the whole Loan anyway. The best thing to do is keep plugging away at it or keep trying to sell it. You could also get a part time job and do some spending management in the mean time. Good Luck!

Answer 3

Try getting some kind of second job and use that money to just pay the payment. Don't ever buy something you can't afford in the future. This may be an expensive lesson, but do not let the car become repossessed, cause if you think your credit is bad now, just wait. Good luck!

Answer 4

It's always hard to get enough to payoff the loan on a newer vehicle, it depreciates quickly, and the initial payments on the loan are mostly paying the interest on it.

The best thing you can do at this point is find a way to make more money. Extra hours where you work now, if possible, or another job part-time, will ease the strain of the car payment, and will pave the way to improving your credit, at the same time.

I've been there myself sometimes, hang in there, discipline yourself, and things will get better. Best of luck to you.

Answer 5

Voluntary repossession. Talk to the Bank or Finance Company and they will tell you what to do. Then you will only owe the balance between what they give you for the car and what the payoff was. The agree to make payments on that smaller amount. It won't help your credit, but it is not as bad as a repossession and a subsequent write off.

Answer 6

i had the same problem with a jeep wrangler too. i could afford the payments, i just felt they were too high. i got a friend to legally take over my payments. i was blessed and had another car though.

Answer 7

Sorry hun, but right now you are between a rock and a hard place. Best advice is to find a way to keep it.
Maybe a part-time job will boost you enough until other measures can be taken.

Answer 8

For how much I want to say, "You made your bed, now sleep in it," I can't be that cruel. Stop the bleeding......if you have a CarMax near you, go to them to sell it for whatever they want to give you and get a cheap junker from them and ask them to finance the junker with the remainder of the balance on the Jeep.

Answer 9

IF YOU ARE IN A LEASE THAT MIGHT BE HARD. BUT IF YOU ARE IN A PURCHASE THE LENDER WHO HOLDS THE LIEN MAY REFINANCE FOR YOU AT A LOWER PAYMENT SO THAT YOU DO NOT GET FAR ENOUGH BEHIND THAT THEY WOULD NEED TO REPOSSES THE VEHICLE. THAT IS NOT GOOD FOR YOU OR THEM. IF YOU DO NOT WANT TO KEEP THE VEHICLE YOU MIGHT TRY TO FIND SOMEONE WHO WILL ASSUME YOUR LOAN AND TRANSFER IT INTO THIER NAME.

Answer 10

Have you offered it for sale, by just saying "take over payments". I did that years ago and someone came over and took me up on it. I was in the same situation as you.