My credit is fair and the banks won’t refinance my car loan wich is now @ 24.95%, this is too high for me. i need to know what happens is i turn the car in or what other options do i have?
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{ 8 comments… read them below or add one }
If you turn the car in, it will still be a black mark on your credit. It sounds like your only option is to refi with a cosigner. You should qualify for that no problem, as long as your co-signer has good credit.
You are upside down no doubt. I suggest that you get a part time job and pay that loan off as soon as you can.
You can’t just "turn in" your car. You will still be responsible for the loan and damages.
That is outrages. You an probably get a better rate if you have a co-signer. In a way your paying to get good credit back. I really don’t think there is any way around it. Take it if you can handle the payments and after at least 2 years of on time payments and creating a good credit history you can get rid of the car and get a better rate……
Wops, I misunderstood. Returning your car is a bad mark on your credit but them comming and taking it is worse.
If you have negative marks on your credit you will not find a lower interest loan. The key is to make all of the payments on time for one year. At that time you can apply for a lower interest loan or upgrade your current car.
If you turn the car in they will sell it at an auction. Where they will probably get a thrid of it’s true value and bill you for the difference.You would be worsr off than now. Best bet is try and sell it. You never should have accepted the loan in the first place.
You can sell it….
You can pay twice a month to pay it off faster….
You can stop paying and let them repossess it…. and they will come after you for the difference + towing fees + storage fees + administrative fees. $$$$$$$$$$$$$$$$$. Oh and your credit is ruined for 7 years.
Which option would you like?
I would suggest finding someone who has really great credit that trusts you to co-sign with you. You will lose either way in this scenario- finacing wise or letting the car go becasue they depriciate in value so much. Have you tried every bank out there? I’m not a financial guru- good luck tho-
24.95%!!!!!!!!! Good gravy Marie.!
Do you already have this loan? If not, Run away!!!!
If you’re already paying on this loan, you might have to pay on it for a while ( maybe a year) to establish some kind of decent credit history. Make those payments dead solid, no late, no misses. After you have demonstrated a better payment history you should have a shot at a re-fi. See if you can get a co-signer. If you don’t belong to some sort of credit union, join one right now so you can establish a history with them. C.U. tend to be a little more flexable with loans.