Is is wise to purchase another car right after having another one repossessed?

Answer 1

Well let's look at this from a logical standpoint. You undoubtedly made a very poor decision on the last car you purchased or you would not have lost it to repossession. You bought way more car than you could actually pay for. Also remember that if this car was repossessed recently, you are going to have to pay. The lender will sell the car. You will then be responsible for the difference in what the car brings when sold, and the balance on the loan. You may also have to pay the lender's repossession fees. If you have already settled all this and know there is nothing more you owe on this vehicle, then yes you probably should buy a car if you need one. Question is what sort of car. Purchase a car you can pay cash for. The worst thing you can do is go right back in debt for another car. Your credit will be horrible and the loan rate will be high. Buy a car that is mechanically sound and can get you from point A to point B safely. You can buy a decent car that fits that bill, for around $1,000 if you spend the time looking. A private seller would be a good place to look. Look for a car they are asking $1,500 or less. Sellers will always come down. Just be sure to have the car looked at by someone who can spot a car you should not buy. It may be what is called a beater and may not look so good but it will be yours free and clear. You can sleep good at night knowing you owe nothing on this car. Credit is what you go you into trouble, so don't make the same mistake twice. Learn something from your mistakes.