2007-11-11 11:07:42 · 11 answers · asked by stefanasherman 1 in Cars & Transportation ➔ Buying & Selling
Agree with above post. Whether you turn it in voluntarily or it gets repo'ed, it will still show up as repossession on your credit history. If the lender sells the car for less than what you still owe, you will end up paying the difference. So what happens is you will still be paying for a car you no longer have.
Turning your car in should be the last resort you take. You can try to refinance with same lender or a different one or try selling the car yourself to help pay for the loan.
2007-11-11 11:28:31 · answer #1 · answered by jdhs 4 · 1⤊ 0⤋
There is no such thing as a voluntary repossession. If you don't make the payments and your car is repossessed, it it reported the same whether they had to find it or you brought it to them. All you have done by turning it in is save a little money. Now they will offer your car for sale, in auction. The difference between what you owe and what they got will still be your debt to pay.
What changed that you can no longer afford the car? Try discussing your situation with the lender, perhaps they can suggest something that won't ruin your credit like a repossession will.
2007-11-11 11:21:53 · answer #2 · answered by oklatom 7 · 1⤊ 1⤋
You can make it a voluntary repossession or wait until they come for it. It makes no difference as far as how it shows up on future credit reports. It makes the same bad marks and drives up the interest rates for any financing you are able to get in the future. The vehicle you surrender is usually sold at auction and you are responsible for the difference between what you owe the bank and what the car actually sells for.
2007-11-11 11:33:29 · answer #3 · answered by Otto 7 · 1⤊ 0⤋
Your credit will be destroyed, and your ability to finance a car will be shot for many years. Do everything you can to avoid giving the car back. Sell it for a loss if you have to, just don't let it go back.
2007-11-11 11:29:24 · answer #4 · answered by jay 7 · 2⤊ 0⤋
You may have the option of finding someone to take over your lease or purchase agreement. I know here in Canada there's a number of services that do that.
You'd have to pay a lease transfer fee, but it won't hit your credit.
2007-11-11 14:29:36 · answer #5 · answered by CHARLES R 6 · 0⤊ 0⤋
It will go on your credit as a Voluntary repossession, So it is still a negative but most creditors will appreciate that it was in fact voluntary
2007-11-11 11:13:46 · answer #6 · answered by nonamepresent 2 · 0⤊ 0⤋
If you have good credit, why not try refinancing it at a lower apr? Otherwise it will go down on your credit report as voluntary repossession.
2007-11-11 11:19:21 · answer #7 · answered by Zsasha 5 · 0⤊ 0⤋
Get a second job to earn extra money and pay your loan off. Remember, you signed a contract.
2007-11-12 02:30:30 · answer #8 · answered by Scott H 7 · 0⤊ 0⤋
REPO!!! your credit is screwed and you will be riding a bicycle for about 7 yrs
2007-11-11 11:13:39 · answer #9 · answered by Anonymous · 0⤊ 0⤋
Geez, don't "turn it in." Try to sell it yourself and get what you can for it.
2007-11-11 11:52:41 · answer #10 · answered by Flatpaw 7 · 0⤊ 0⤋