2007-09-25 10:57:41 · 7 answers · asked by KATRINA 2 in Business & Finance ➔ Credit
Auto finance is what I do for a living and the answer in a huge NO.
A repossession without a bankruptcy is one of the worst things that can show on your credit report.
Your score will drop overnight around 150-200 points and the lender will auction the vehicle for less then it's worth and come after you for the balance plus all fees for towing, storage, reconditioning, lawyers and anything else they can think of.
If you still do not pay they will take you to court and get a judgment at that point they can attach bank accounts, garnish wages (if your State allows it) and file liens on any other property you may own like cars, boats, land and homes.
All of this will show on your credit for the next 7-years making it very hard to get any other kind of loans without making massive down payments, paying huge fees and State maximum interest rates.
Sell it, get someone to take over the payments anything but let it go back.
2007-09-25 11:14:40 · answer #1 · answered by ? 7 · 2⤊ 20⤋
The moment you drove it off the lot, it became worthless than you paid, especially if you financed 100%. A voluntary repo is what you are talking about and this is what will happen. They will sell it at auction for penny's on the dollar, and you will be responsible for the amount left over, plus attorney fees, plus late fees, plus interest. Your credit score will go down the tubes, and have a hard time getting credit to purchase a car (and if you do the interest rate will be astronomical) for the next 7 years. Most likely they will also have a judgment brought up against you, possibly garnishing your wages, tax return, inheritance etc. Not a good thing to do
2007-09-25 11:15:31 · answer #2 · answered by Pengy 7 · 0⤊ 1⤋
Nope.
That's why you gotta think about these things at the time of purchase.
If your heart isn't into the loan, then the credit score will suffer.
If you return that car and the car is worth less than the amount due -- then they will want the difference IMMEDIATELY.
2007-09-25 14:27:17 · answer #3 · answered by DaMan 5 · 0⤊ 0⤋
not really a repo is the same even if you drive the car to dealer and leave it there. I did once
Do not believe the guy saying you will be sued.
I had a truck from Ford credit I got pissed off at them one day and drove it to the lot and walked away. Never paid another dime. I never heard anything from just bills I sent back to them
Now I have a 2005 Pontiac G 6 paid off sitting in yard. Boy they really showed me!!!!!!!!!
2007-09-25 11:00:23 · answer #4 · answered by Anonymous · 0⤊ 2⤋
The mastercard. you pays the non-public loan off later with the money you keep by utilising no longer spending any funds that may not needed. mastercard costs are meant to be paid off on the tip of the month, loans are loans.
2016-10-19 23:26:47 · answer #5 · answered by ? 4 · 0⤊ 0⤋
Why? Because you can't afford it? Try selling it first.
2007-09-25 11:00:23 · answer #6 · answered by BMW BFD 5 · 0⤊ 1⤋
It shouldn't hurt your credit, just your pocketbook!!!
2007-09-25 11:05:17 · answer #7 · answered by Anonymous · 0⤊ 4⤋