Auto Loans and Financing
Repossession
Loans

If you are current on payments and leave a car at the dealer because you are way upside down does it hurt your credit?

363738

Top Answer
User Avatar
Wiki User
2011-09-12 21:42:57
2011-09-12 21:42:57

Usually, your CR isn't great before you take an "upside down" loan. But, YES, it hurts your CR. A repo ia a repo is a repo on any CR.

1
๐Ÿ™
0
๐Ÿคจ
0
๐Ÿ˜ฎ
0
๐Ÿ˜‚
0

Related Questions

User Avatar

I do not believe that they can do that, as long as your payments are current.

User Avatar

I'm speculating because I don't know the full details but it could be that the bank did not approve your car loan because of your credit and now they need the car back. (Call them and ask them what happened maybe you need a new car loan.

User Avatar

Having bad credit tells the bank and car dealer that you are a high risk. If you have late or missed payments you'll be charged higher fees and interest charges.

User Avatar

You will have to pay any balance due after the car is sold and then it ruins your credit.

User Avatar

The website Autotrader is a good place to get a car with bad credit. The way that you do it is you can negotiate the price, lease it or as long as you have a job and put half down, the dealer may let you pay the rest in payments.

User Avatar

That would happen only if the dealer has extremely poor business practices.

User Avatar

There are many ways to pay for the motorcycle--sell it to a friend. Talk to the dealer. Whatever you do, don't just quit paying and ruin your credit.

User Avatar

It Typically begins 45 days fo the day you purchase your new or pre-owned vehicle. In some instances, depending on your dealer, & your credit stability Payments may be put off up to 90 days.

User Avatar

You have to establish credit. One way is to obtain a loan through a furnature store or auto dealer. You purchase an item, and even if you could pay cash, take advantage of 'no interest for three months' or other such items to make payments on the item. This will build up a credit rating. One or two credit cards, (Not dozens!) with prompt pay-offs, is always a good thing. If you are renting through a large property management firm, they may report your rent payments to the credit bureaus.

User Avatar

Sure ... particularly if something negative comes up in the buyers credit report putting them at risk of possibly not being able to make the monthly payments.

User Avatar

you take your payments to pay them and say im here to pay them kthxbye

User Avatar

If you want to purchase a house or car, the best thing to do is to repair your credit. If you have repossessions or bankruptcies, or even a divorce on your credit history, it is a good idea to contact the creditor and get started improving your credit rating. To repair credit is easy. Find a store that will let you make payments and make them on time, or buy a car from a car dealer that reports to credit agencies. This will increase your credit rating, making it easier to buy bigger things.

User Avatar

the dealera banka credit union

User Avatar

You signed a contract and drove it. It is not new anymore. Returning it would be a voluntary repossession and you would probably owe several thousand dollars. Yes, it would hurt your credit.

User Avatar

Some are over $180.Call your local dealer for current pricing.Some are over $180.Call your local dealer for current pricing.

User Avatar

Dealer Financing vs. Credit Union Financing Use this calculator to help you compare financing between your credit union and low interest dealer financing. A dealer rebate, usually not available when you choose low interest dealer financing, combined credit union financing, can produce a lower initial loan balance, and in many cases, a lower monthly payment. The best option depends on the price of the vehicle, the size of the rebate and the interest rates available for financing.

User Avatar

The dealer has nothing to do with the car unless he financed it himself. Do not do this! Figure something else out. Get someone to take over the payments, sell the car and pay the loan off, re-negotiate the loan. Do whatever it takes to keep your good credit. If you return the car to whoever holds the note on the loan, you will be responsible for the difference in what the car brings when the lender sells it and what the payoff is on the note. This will stay on your credit rating for years. A very bad idea!!!!!!

User Avatar

You can finance a car by either contacting a bank and getting a loan through them or by getting a loan directly through the car dealer that you will be purchasing the car from. The benefits of a good credit score include better interest rates, lower payments and make it easier for you to obtain a loan.

User Avatar

If you do not have title or have not been making agreed payments...YES.

User Avatar

As far as credit reporting goes (your individual FICO score): NO - if the loan is funded on his name only. If you are listed as a co-borrower, co-signer or as secondary on the lease, then YES. If he went to the dealer, and used his own name, credit and income data to obtain the loan, it will appear on his credit only. Caveat: Since you are married - if he were to stop making payments, or had the vehicle repossessed - the creditors could go after you as a debtor, simply because you are married and therefore equally liable for any debt incurred during that union.

User Avatar

Before your car payment is due, call the lender and ask for extra time. If you're at least a few months into the loan and haven't missed any payments, the lender will probably let you miss one or two months' payments and tack them on at the end. If you don't pay or make arrangements with the lender, the lender can repossess without warning, although many will warn you to give you a chance to pay what's due. If your car is repossessed, you can get it back by paying the entire loan balance and the cost of repossession, or, in some cases, by paying the cost of the repossession and the missed payments, and then continuing to make payments under your contract. If you don't get the car back, the lender will sell it at an auction almost always for far less than it's worth. In most cases, you'll owe the lender the difference between the balance of your loan and what the sale brings in. If you are far behind on your car payments and can't catch up, the truth is that you may not be able to afford the car. Under these circumstances, you should think about voluntarily "surrendering" your car before the dealer repossesses it. This strategy can save you expensive repossession costs and attorneys' fees. Because it also makes life easier for the dealer, you should try to get concessions from the dealer before you give up the car. A dealer will often waive its right to collect the amount left owing on the loan and/or promise not to report the default or repossession to credit bureaus. Try to get the dealer to agree not to report negative information to credit bureaus in return for your voluntarily surrendering the car. Negative information (such as a surrender, default, or repossession) will appear on your credit report for seven years, and will affect your ability to get credit in the future.

User Avatar

The advertised lease price is usually only for well qualified buyers. Check the fine print out. Well qualified usually means those with great-excellent credit ratings. The best person to answer this question would be the dealer that is advertising the car. They can give you more information about how much you would get for your trade in and how it would affect your payments.


Copyright ยฉ 2020 Multiply Media, LLC. All Rights Reserved. The material on this site can not be reproduced, distributed, transmitted, cached or otherwise used, except with prior written permission of Multiply.