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You can trade it in for a cheaper car and put the remaining balance on the new loan. There is really no way to get out of it, I was in that mess for awhile.

Most lenders will do an 'over advance (110%- to 140%) . So you do not have to trade down to cheaper and often trading up is easier. If you are buying a new car, sometimes the rebates can 'cover' your loss. 110% of a 30, 000. dollar auto is a lot more room than 110% of 10,000.

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โˆ™ 2011-09-20 19:50:48
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Q: How do you get out of a car loan in which you are upside down?
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Related questions

Can you use a car loan as a down payment on a car?

ya of curse you can use the upside down car loan for buying a new car...


If you trade in a car that you owe money on will you have to pay the previous car loan plus your new loan?

Yes. It is referred to as "upside down" financing.


What happen if you can not pay your car loan?

When you don't make regular payments, your car will repossessed. Now if you had an upside down loan, you will still owe the lender.


When upside down in a car loan how much more do you pay on a trade in?

If you are upside down with your car loan, meaning you owe more on it than what it is worth, you will need to pay the deficiency. That means if you owe $11,000 on your car and it is worth $9,500, then you will need to come up with $1,500 to erase the deficiency.Keep in mind that this may only be the first step. You may also need to come up with a down payment on top of paying the loan deficiency. If you do not put money down and are still approved for a car loan, then you will find yourself upside down with your new car.


What is another word for being upside down?

If a person is upside down on a loan, it means that they owe more on the loan than the value of the thing that is collateral for the loan.Another word for being upside down is being "underwater."If you are upside down on your loan, you have "negative equity" on the collateral.When a borrower is upside down, the loan is "undersecured," meaning that the security interest (the value of the collateral) is smaller than the loan.


How can you re-negotiate a car loan for what it is worth rather than what you owe?

You can't. The lender wants what is owed on the car not what it is worth. This is being upside down on the loan.


Can you trade a car that's upside down?

As long as we are talking about the loan being upside down, not the car:Yes you can trade it,BUTIt is not recommended as you will pay a large penalty in extra interest.


How do you get out of a car loan?

You must know that it is legal obligation to pay off a car loan. To get out of a car loan, make regular payments. If doing so is becoming difficult for you, then you can sell your car and pay off your loan. Here, there would be problem if you have upside down loan. If your higher monthly payments are making things difficult for you, you can refinance your car.


Can you buy a car if you are 12000 upside down with your trade in?

You can but the amount(12,000) will be added to the new car loan. If you were to sell your car that you have now and pay it off, you would be better off.


Your car was totaled in an accident while parked the other driver is at fault you are upside down in your car loan so the payout goes to your lienholder How do you get another car who is liable?

a fast car that you race with


Can you get a loan out on your car?

ImproveYou must know that it is legal obligation to pay off a car loan. To get out of a car loan, make regular payments. If doing so is becoming difficult for you, then you can sell your car and pay off your loan. Here, there would be problem if you have upside down loan.If you higher monthly payments are making things difficult for you, you can refinance your car.


What do you do to get out of your car loan?

ImproveYou must know that it is legal obligation to pay off a car loan. To get out of a car loan, make regular payments. If doing so is becoming difficult for you, then you can sell your car and pay off your loan. Here, there would be problem if you have upside down loan.If you higher monthly payments are making things difficult for you, you can refinance your car.

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