I don't make nearly as much money as I use to and I am struggling with my car payments.
2007-05-02 14:30:03 · 18 answers · asked by Broke 1 in Business & Finance ➔ Credit
Sell the car essentially, don't worry your not alone. Or take out a personal loan, and list the car as collateral. It is essentially only 2 ways without ruining your credit personally. Or call your lender, which depends on the person and the credit history. Alot of americans are running into a lot of credit problems believe it or not, specially with the subprime loans affecting the housing market.
2007-05-02 14:42:12 · answer #1 · answered by christain gurl 2 · 0⤊ 0⤋
You can try to get a new loan from a different lender which could reduce your payments if you have had the current car loan for a good period of time. You can trade in the car at a dealership for a cheaper car and they can usually find a lender to get the deal done even if you are upside down and have bad credit, but you most likely will pay a higher rate if you do owe more than the car is worth on your current loan. You can also as others suggested sell the car, but you most likely can't get enough money to pay off the loan and you will still be required to pay the loan not to mention the title can't be released until the balance to your lender is paid off. So selling your car could be difficult.
2007-05-02 15:02:02 · answer #2 · answered by Ryan H 2 · 0⤊ 0⤋
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2016-09-26 07:25:24 · answer #3 · answered by ? 3 · 0⤊ 0⤋
Option 1: Lots of people aren't aware that you can refinance your car...the same as you would a house....either through the lender your making payments to, or go to another lender.
If your car is in good condition, you don't owe too much more than it's worth, then it shouldn't be a problem.
Option 2: Get a new job making more money and/or ask for a raise.
Option 3: Sell it for what you owe on it, and get something else.
Option 4: Let them reposess it, ..stop making payments, and save that money so you can buy a new car outright after they finally come and take it back. It takes a long time before they will actually come take back the car. By then you could save a few k, and buy a temporary car. Your credit will take a hit, but if your credit already sux then ,,,,,no big deal right ?
2007-05-02 14:47:03 · answer #4 · answered by Anonymous · 0⤊ 2⤋
If you are struggling, then it is time to cut your losses.
Call your lender and let them know that you are going through a financial difficulty. Ask them if they can refinance the loan into a longer ammortization to save you money on the monthly payments.
If they can't do that, then you need to consider selling the car and paying down your loan...
2007-05-03 07:29:12 · answer #5 · answered by xylina_69 4 · 0⤊ 0⤋
you'll probably need to contact your loan holder and explain to them what's happening, if you've been responsible in your payment plan (paying on time) they'll probably work with you.
You may want to consider selling the car and buying something cheaper - EVEN IF YOU LOSE MONEY WHEN YOU SELL THE CAR you may still want to consider this, 50,000 of debt with a car you cannot afford is worse then 8500 in debt after selling the car you cannot afford and buying a 3000 used car.
The bank/lender will work with you in either case just call them and see what they say...you can also try to refinance.
2007-05-02 14:36:10 · answer #6 · answered by Anonymous · 2⤊ 0⤋
Sell it - take a loan out for the upside down portion (since you probably owe more on it than it's worth), and buy a car you can afford.
You can also try to transfer the lease / payment - if the car is in high demand, this may be feasible.
2007-05-02 14:33:43 · answer #7 · answered by Anonymous · 1⤊ 0⤋
For what silly reason do you think you can 'get out of it'? You signed a legal contract with the lender which provided money for the purchase of the car. It's not THEIR fault you are now making less money. As other responders have said, sell the car for what you can get, and DO expect to be required to pay the difference between what you got for the car and what you owe on it.
2007-05-02 14:35:07 · answer #8 · answered by acermill 7 · 0⤊ 0⤋
Call the finance company and see if you can lower your monthly payment by adding another year to your agreement.
Another option is to try and sell the car privately, even if you break even on the loan you will be in good shape.
2007-05-02 14:43:36 · answer #9 · answered by Helpfulhannah 7 · 0⤊ 1⤋
That's a tough one. I have actually called the finance company and renegotiated the loan. That lowered the monthly payments. They also helped by erasing a couple of late fees that I had accumulated.
Good luck
2007-05-02 14:34:15 · answer #10 · answered by goniff 2 · 1⤊ 0⤋