Okay i am finacing a new 2007 mazda3, I got it 4 months ago. But i have become ill and am on short term disability. I cant afford it any more. how can i get rid of it without messing up my credit to much?
2007-11-12 03:39:03 · 7 answers · asked by Anonymous in Cars & Transportation ➔ Insurance & Registration
1. SELL IT AND TAKE THE LOSS.
2. ADVERTISE IT AS A PICK UP PAYMENTS.
3. TALK WITH THE FINANCE COMPANY.
4. CHECK WITH YOUR INSURANCE COMPANY AND SEE IF YOU HAVE ANYTHING ON YOUR POLICY FOR THIS TYPE OF SITUATION THAT CAN HELP YOU.
5. BORROW THE MONEY FROM A FRIEND OR FAMILY MEMBER SINCE THIS WILL ONLY BE A SHORT TIME.
GOOD LUCK AND GET WELL.
2007-11-12 04:17:20 · answer #1 · answered by Anonymous · 5⤊ 3⤋
First of all, contact the finance company to see if they can extend your payments for a bit while you recover! Most finance companies would rather work with you than take the car back!
You have several choices. You can sell the car, and pay any difference between the selling price and what you owe out of pocket (or with a personal or home equity loan)
You can let the car be repossessed. Do not believe that a voluntary repo will not hurt your credit as much. The only thing different is the way the bank gets the car back! If the car is repossessed, the bank will sell the car, apply the sales proceeds (less any and all costs of repossession, storage and sale) to your loan balance and then want the balance of the loan paid off! They will sue you and garnishee any future wages you may get!
Your best move is to sell the car and get a personal loan for the difference.
2007-11-12 04:00:25 · answer #2 · answered by fire4511 7 · 2⤊ 0⤋
The BEST thing to do would be to try and sell it and get the most you can and make up the difference to the finance co. This would do ZERO damage to your credit.
The other option is called a voluntary repo and would damage your credit but less than a forced repo. Once you figure out what you want to do talk to your finance co and they will guide you through the process.
People's situations change all the time. It will be OK. Credit can be restored over time.
Good luck to you.
2007-11-12 03:51:14 · answer #3 · answered by pkgfinder 3 · 0⤊ 2⤋
You have to sell it, and pay the loan in full. The other way is to stop making the payments, as you know.
As far as I know there are absolutely not any other options.
2007-11-12 06:04:27 · answer #4 · answered by Firebird 7 · 1⤊ 0⤋
Unless you put down a big honking down payment, you can't - you obviously need to sell this car, but you probably can't get payoff for it unless you put down a big down payment. Likely, you owe $2K to $3k more than it's worth.
You're going to need to find out what payoff is, and what it's worth (go to www.kbb.com - private party sale) and if there's a difference, you need to make it up. Then you need to call the lender, and ask how you can get this car sold, because THEY need to release the title so you can sell the car.
2007-11-12 04:14:05 · answer #5 · answered by Anonymous 7 · 0⤊ 2⤋
you can sell it online asking cash.
or you can trade it in might not work out though as you may be upside down? (means you owe more on the vehicle then what its worth now.) doesnt hurt to try though! hope you get better n good luck!!!
2007-11-12 03:57:32 · answer #6 · answered by Anonymous · 0⤊ 2⤋
I suggest find a friend/family member that you trust and let them assume responsibility for the car & car loan. Be sure to put it in a contract . That way your friend/family member gets transportation and you get to keep your credit intact.
2007-11-12 04:03:32 · answer #7 · answered by Thai 3 · 0⤊ 4⤋