Selling a car with negative equity...

[toekramp]

I have a vehicle that I need to get rid of... basically I owe about 29.5k on it and I can probably get 27 for it. I don't have the extra $2500 right (I may soon) but my available income has recently been cut in half, so it would make my life a lot easier if I got rid of this car. Will banks provide a personal loan to cover the negative equity so I can continue a 'monthly payment' that just goes toward that loan? I have another vehicle, could I put that up as collateral? Once again, I can afford to cover the payment it's just stretching me a bit too thin now. I thought perhaps somebody may have been through a similiar situation.

 

[NiKeFiDO]

sure, ill loan....waaaaaaiit a minute

 

[desk]

if you get 27k, why cant you just use that money to make the payments until you can pay all of it off.

 

[Ramma2]

Originally posted by: desk
if you get 27k, why cant you just use that money to make the payments until you can pay all of it off.

You'll be paying interest on the loan during that time, and the loan will end up costing more than 27k.

Pay the 27K towards the loan and just make payments until the remainder is paid off. Either way you're going to be making payments on something.

 

[spidey07]

Originally posted by: desk
if you get 27k, why cant you just use that money to make the payments until you can pay all of it off.

ok, now my brain hurts.

OP, I'm sure you could get a loan of some sort. If you have colateral, somebody will give you money. Heck my credit union will loan my 5K if I needed it.

 

[mrchan]

Originally posted by: desk
if you get 27k, why cant you just use that money to make the payments until you can pay all of it off.

I dont think you can do that, the loan for the car is made out to his name. The loan company, therefore has the title until it is paid off.

 

[Kelemvor]

Call the company that you have the loan through and ask them their policy. If you've recently had financial changes, they may work with you to figure something out.

 

[toekramp]

Originally posted by: mrchan

Originally posted by: desk
if you get 27k, why cant you just use that money to make the payments until you can pay all of it off.

I dont think you can do that, the loan for the car is made out to his name. The loan company, therefore has the title until it is paid off.

exactly my question.

 

[toekramp]

Originally posted by: FrankyJunior
Call the company that you have the loan through and ask them their policy. If you've recently had financial changes, they may work with you to figure something out.

thanks for the advice

 

[JulesMaximus]

Originally posted by: desk
if you get 27k, why cant you just use that money to make the payments until you can pay all of it off.

The new owner will probably want the title to the vehicle (just a hunch here 😉 ) and the bank won't release it until the loan is paid in full.

 

[spidey07]

Originally posted by: JulesMaximus

Originally posted by: desk
if you get 27k, why cant you just use that money to make the payments until you can pay all of it off.

The new owner will probably want the title to the vehicle (just a hunch here 😉 ) and the bank won't release it until the loan is paid in full.

Nah, what would the new owner need with the title? I'm sure he would love it if it still said "property of toekramp's bank"
😉

 

[PricklyPete]

How long is your available income going to be cut in half? If it is only short term, I'd stick with the loan. If you just want to get rid of the car, then look for a personal loan or call the bank who loaned you the money as previously stated.

 

[toekramp]

Originally posted by: PricklyPete
How long is your available income going to be cut in half? If it is only short term, I'd stick with the loan. If you just want to get rid of the car, then look for a personal loan or call the bank who loaned you the money as previously stated.

i think the other half of my income isn't going to be coming back anytime soon...

 

[kranky]

If your other vehicle is paid off, you can use it as collateral for a personal loan (assuming it's worth well over the $2500 you need).

 

[JulesMaximus]

Originally posted by: toekramp

Originally posted by: PricklyPete
How long is your available income going to be cut in half? If it is only short term, I'd stick with the loan. If you just want to get rid of the car, then look for a personal loan or call the bank who loaned you the money as previously stated.

i think the other half of my income isn't going to be coming back anytime soon...

What happened? She catch you in bed with another woman? :laugh:

 

[toekramp]

Originally posted by: kranky
If your other vehicle is paid off, you can use it as collateral for a personal loan (assuming it's worth well over the $2500 you need).

my other vehicle is paid off, probably close to $2500 (def not well over)... i guess i'm going to have to go this route.