Great! I owe $6800 on my car, and it might be totaled. How much $$ do I get?

[Red]

1997 Infiniti I30... 124k miles. No, I do not have gap insurance. Last March, when I bought the car, my bank said gap insurance was not necessary since I was getting a good deal on the car. HA! Why the hell is this happening then:

Kelley Blue Book Private Party (Insurance) values:
Excellent condition: $5760
Good condition: $5220

NADA values:
low: $5100
average: $6500
high: $7500

Edmunds TMV (Private party):
outstanding: $5496
clean: $4974

If my car is declared a total loss, which amount will my insurance write me a check for? Also, let's say they write me a check for $5500 and I owe $6800 on my loan. Will my credit union let me add the difference ($1300) on to the price of another car I will be buying?

 

[iamwiz82]

Originally posted by: Red
1997 Infiniti I30... 124k miles. No, I do not have gap insurance. Last March, when I bought the car, my bank said gap insurance was not necessary since I was getting a good deal on the car. HA! Why the hell is this happening then:

Kelley Blue Book Private Party (Insurance) values:
Excellent condition: $5760
Good condition: $5220

NADA values:
low: $5100
average: $6500
high: $7500

Edmunds TMV (Private party):
outstanding: $5496
clean: $4974

If my car is declared a total loss, which amount will my insurance write me a check for? Also, let's say they write me a check for $5500 and I owe $6800 on my loan. Will my credit union let me add the difference ($1300) on to the price of another car I will be buying?

Usually they will let you roll the old loan into the next, but that isn't exactly the best thing to do. Pretty soon you will be so upside-down on your loans that you will never get out. What happens if you total another vehicle and you already have that $1300 on top of it? Then you could be down $2600, and then $4000 the next time.... etc

 

[Red]

Usually they will let you roll the old loan into the next, but that isn't exactly the best thing to do. Pretty soon you will be so upside-down on your loans that you will never get out. What happens if you total another vehicle and you already have that $1300 on top of it? Then you could be down $2600, and then $4000 the next time.... etc

That's what I'm worried about, so I guess I need to find the absolute BEST deal on a car... something that's about $2000 or so below book value and that will help counteract it.

But you're saying that it is true that banks will allow that amount to roll over? I was thinking they would make me cough up $1300 to close out the loan or something.

 

[iamwiz82]

Originally posted by: Red

Usually they will let you roll the old loan into the next, but that isn't exactly the best thing to do. Pretty soon you will be so upside-down on your loans that you will never get out. What happens if you total another vehicle and you already have that $1300 on top of it? Then you could be down $2600, and then $4000 the next time.... etc

That's what I'm worried about, so I guess I need to find the absolute BEST deal on a car... something that's about $2000 or so below book value and that will help counteract it.

But you're saying that it is true that banks will allow that amount to roll over? I was thinking they would make me cough up $1300 to close out the loan or something.

Most will, depending on your credit, I guess. Have you ever heard those car dealerships that say "We'll pay off your loan, no matter what you owe!" It's the same situation. They will pay off your old loan and roll it in to your new one.

 

[WyteWatt]

So glad I own a bike instead.

 

[Ausm]

1 dollar

Ausm

 

[edro]

Originally posted by: Ausm
1 dollar
Ausm

And you even took the time to add a signature...
The bank should ask you what you want to do. The bank used the Kelley Blue Book mid value for my sisters car like 8 years ago. That's the only personal knowledge i have on the matter.

 

[Freejack2]

Who is your insurance company? I recall this one guy having his camry wagon totaled and he fought with the insurance company until they paid him exactly what it cost to replace his car with an identical one.

 

[Red]

Crawford / Cincinnati Unsurance company. I'll look up some other 97 I30s for sale and see what I'm getting.

 

[WyteWatt]

Originally posted by: Freejack2
Who is your insurance company? I recall this one guy having his camry wagon totaled and he fought with the insurance company until they paid him exactly what it cost to replace his car with an identical one.

Time spent to fight with the insurance company priceless
Ridding a bike instead where you save time.

 

[kranky]

Obviously the insurance company will want to pay you as little as they can get away with. You have to protect yourself by doing as you said - researching what that car would cost so you have enough information to defend your interests. Make sure you count all options. Unfortunately the insurance company won't care that the bank said you didn't need gap insurance.

The bank may let you roll over the remaining balance but it's more important to get all you are entitled to from the insurance company.

 

[Freejack2]

Go around, find other 97 I300s with similar miles and accessories sold at dealerships. Take this information to your insurance company and tell them this is what it costs to replace my vehicle. Make sure your lowest quote is what you want to get as that's what they'll give you.

 

[iamwiz82]

Originally posted by: Freejack2
Who is your insurance company? I recall this one guy having his camry wagon totaled and he fought with the insurance company until they paid him exactly what it cost to replace his car with an identical one.

What it costs to replace it and what he owes are two very different things.

 

[AMDMaddness]

Fight w/ the insurance company for as much as you can... however in most cases loan companies will meet you most of the way on totaled car payoffs. I had a contour I was $1200 upside down on from a total they met me most of the way I had to pay $200 and I was done (my regular payment) good luck and dont forget to call your loan company about it they have the power to lower your payoff.

pete

 

[Red]

More research:

Nationwide, Autotrader.com has 58 listings for 1997 I30s that have over 100k miles. Average listing price $6,437.

AMDMaddness: That would be awesome if my insurance can get close to the $6800.

 

[kyparrish]

good luck Red

 

[DougK62]

So why did you pay so much for the car if you knew it wasn't worth it? Sounds like you did a poor job researching before buying. A smart person would never be in a position like yours with an old used car.

 

[iamwiz82]

Originally posted by: kyparrish
good luck Red

Your sig makes my head hurt

 

[dullard]

The insurance company will likely offer an amount similar to KBB in good condition. So I'd expect them to offer you ~$5200. But that doesn't mean you have to accept it. Instead, do what was said above. Find the going rate for similar vehicles in your area. If it is more than $5200, you may be able to squeeze a couple hundred more from them.

Now the question becomes: why do you owe $6800 on a car that is worth $5200 after nearly one year of making payments?

 

[Red]

Originally posted by: DougK62
So why did you pay so much for the car if you knew it wasn't worth it? Sounds like you did a poor job researching before buying. A smart person would never be in a position like yours with an old used car.

I bought the car for $6800.... at the time, in March of '04, it was a good price. I also purchased a warranty for $1000. So my loan was close to $8,000, and now... 12 months later, the pay off is $6800.

 

[waggy]

Originally posted by: Red

Originally posted by: DougK62
So why did you pay so much for the car if you knew it wasn't worth it? Sounds like you did a poor job researching before buying. A smart person would never be in a position like yours with an old used car.

I bought the car for $6800.... at the time, in March of '04, it was a good price. I also purchased a warranty for $1000. So my loan was close to $8,000, and now... 12 months later, the pay off is $6800.

yeap. considering with most loans you pay off the interest first (wich should be against the law).

My sister-in-law was shocked to find that out. She baught a car for 8k at 24% interest. paid on it for right over a year. Wanted to buy a new car (ended up getting a 2002 trooper with 59k for $15k! at 10%) and was shocked she still owed almost 8k on the car.

 

[kyparrish]

Originally posted by: iamwiz82

Originally posted by: kyparrish
good luck Red

Your sig makes my head hurt

haha...

if my sig makes your head hurt, then read the thread

You'll surely need to be medicated after you read that.

 

[Aharami]

Originally posted by: waggy

Originally posted by: Red

Originally posted by: DougK62
So why did you pay so much for the car if you knew it wasn't worth it? Sounds like you did a poor job researching before buying. A smart person would never be in a position like yours with an old used car.

I bought the car for $6800.... at the time, in March of '04, it was a good price. I also purchased a warranty for $1000. So my loan was close to $8,000, and now... 12 months later, the pay off is $6800.

yeap. considering with most loans you pay off the interest first (wich should be against the law).

My sister-in-law was shocked to find that out. She baught a car for 8k at 24% interest. paid on it for right over a year. Wanted to buy a new car (ended up getting a 2002 trooper with 59k for $15k! at 10%) and was shocked she still owed almost 8k on the car.

:Q your sister-in-law got ripped hard!!

edit: btw...good luck red. did you take your audio stuff out of the car?

 

[Injury]

Originally posted by: iamwiz82

Originally posted by: Freejack2
Who is your insurance company? I recall this one guy having his camry wagon totaled and he fought with the insurance company until they paid him exactly what it cost to replace his car with an identical one.

What it costs to replace it and what he owes are two very different things.

Maybe so, but I think you are missing his point. If he gets exactly what it costs to replace the car, then he just simply replaces the car, and he's back on track. He won't have to put the money towards the loan so he can get a new car already.

 

[Cardio]

An insurance company is required to pay you what is known as ACV as stated on you policy...actual cash value. They determine this by checking the prices of vehicles like yours in your area if possible. You can try to increase this amount if your vehicle was in better than normal condition and you can prove it.