just bought a 2003 Montero for 16,000 sticker and i had a co-signer if i gave the car back to the bank would my co-signer get in trouble and how do i go about giving it to the bank.
2007-08-16 05:25:08 · 10 answers · asked by jwehrly2000 2 in Cars & Transportation ➔ Buying & Selling
Here is what you do, set it on fire, then fill out a police report that is was stolen, then when they find it on fire, the insurance will probably total out the car. Or you can do like Jerry Seinfeld on Seinfeld, park it next to a homeless person or in a gang ridden area, and toss your keys in the seat, then claim it was stolen. Just joking of course, I guess your just screwed.
2007-08-16 05:32:29 · answer #1 · answered by crymeariver 5 · 0⤊ 0⤋
You have a couple of options and they have a lot to do with how long ago your purchase took place.
First if you just bought the vehicle a few hours ago you can go back to the dealership and explain to them that you will not be able to afford the vehicle and may not be able to make the first payment. Once they hear this they may agree to take the vehicle back, for a fee. They, the dealers often have agreements with the lenders that the first payment will be made or they, the dealers will pay off the vehicle and take it back from the lender. This option is only possible if you did just buy the vehicle recently.
Second you can sell the vehicle and pay the difference between what you get and the payoff amount. This may be a tough option but the longer you wait the more expensive this option will be. Borrow the money from a credit union or bank as a personal loan and then buy a cheap car and make the payments on "your mistake". After a while the loan will be paid off and you can start all over or better yet keep driving the cheap car.
As for your co-signer, if you give the car back that is considered a voluntary repossession and both you and your co-signer will have that mark on your credit history. It will make it very hard for either of you to get good interest rates on anything you buy. It will also effect things like insurance rates. Avoid this at all costs. People with bad credit pay thousands more for everything they finance.
Hope this helps.
2007-08-16 12:46:50 · answer #2 · answered by mark h 1 · 1⤊ 1⤋
This is something you should have considered BEFORE you put a co-signer on the hook for a large amount of money. You don't just "give it back". If you can't make the payments, the co-signer is obligated to make them. Turning the vehicle back in to the lender is a repossession, and it will stay on both your credit history and the credit history of your co-signer for 7-10 years. In addition, the debt just doesn't magically go away. If you do the repossession, the lender will sell the vehicle at auction at probably 50%-60% of the actual value. You and your co-signer will be billed for the difference of the auction sales price and the balance of your loan, which could amount to several thousand dollars. If you don't pay it, guess who will have to? You both could be sued for the amount and have your wages garnished to collect the debt.
You stand a really good chance of screwing your co-signer and damaging his/her credit if you can't make the payments. Get another job if you have to, just make those payments and don't let your lack of planning and your inconsideration drop YOUR problem into the lap of your co-signer. Don't run away from your responsibilities. "Man up" and take car of this yourself.
2007-08-16 13:06:55 · answer #3 · answered by Scott H 7 · 2⤊ 0⤋
Your credit rating and your cosignor's credit rating will both be trashed. And you'll probably have an ex friend in the person of your cosignor since they will have to pay off the note.
As far as your credit ratings go, there's not much difference between a voluntary and involuntary repo. It's like the difference between being shot in the eye with a .22 cal or a 12 ga shotgun -- you're dead either way but one way is much less messy than the other.
2007-08-16 15:13:43 · answer #4 · answered by Bostonian In MO 7 · 0⤊ 0⤋
you can do whats know as a voluntary re-possession,and they will take it back but it will put a bad mark on your credit,and the person who co -signed with you,you,d be better of running an add in the paper,and selling it,this way you might get all of what you owe against it,plus something to the good,if you let it go back it looks bad on yours and the co-signers credit record,at least selling it saves both party's credit record,that's better than loosing all together,good luck on it.
2007-08-16 12:32:50 · answer #5 · answered by dodge man 7 · 1⤊ 0⤋
If the car gets repo'd the co signor will get hit with the negative credit report. If you hate your co signor then go ahead and screw them. If they mean anything to you you need to be an adult and take some responsibility for the decisions you make.
If you can't afford the car sell it, but asking for help from someone and then turning your back on them is a real chicken sh!t thing to do.
2007-08-16 13:07:38 · answer #6 · answered by mccoyblues 7 · 2⤊ 0⤋
find something wrong with it...if its a good dealer like a big new and used car dealer...you usually can work something out...other wise i dont think you could give it back to bank without ruining your co-signers and urs credit.
2007-08-16 12:33:33 · answer #7 · answered by Anonymous · 0⤊ 0⤋
Yes they would...they are equally responsible for the loan. Try to sell the car yourself.
2007-08-16 12:52:17 · answer #8 · answered by mybuttstinks2001 5 · 0⤊ 0⤋
put it up for sale and maybe you'll get as much as you paid for it upfront. You don't want to ruin your cosigner and your credit scores by returning it. Good luck.
2007-08-16 12:35:23 · answer #9 · answered by mlr71775 1 · 0⤊ 0⤋
sell it
2007-08-16 12:42:05 · answer #10 · answered by timberland73 5 · 0⤊ 0⤋