Cars & Vehicles
The Difference Between

Will a lender settle with you if you give up your car?


Top Answer
User Avatar
Wiki User
2006-08-18 17:09:20
2006-08-18 17:09:20

Some will work out a deal, but recognize that they will auction the vehicle and receive far less than it's worth, then they will charge administration fees and anything left will be charged back to you. You'd be better off if you went to the lender, let them know what you're trying to do, then sell the vehicle yourself. You'll be able to get more money that way and if the bank knows that you're planning to pay them back they may actually work with you... but they aren't required. Defaulting on a vehicle loan can be expensive and a financial disaster.

User Avatar

Related Questions

Yes, your car can be used a collateral but it is up to the lender.Yes, your car can be used a collateral but it is up to the lender.Yes, your car can be used a collateral but it is up to the lender.Yes, your car can be used a collateral but it is up to the lender.

It will look MUCH better IF you can get the lender to put the"ZERO BALANCE" part IN WRITING before you give up the car.

That is up to the lender.That is up to the lender.That is up to the lender.That is up to the lender.

It gets repossessed. You can contact the lender and see if they will do a voluntary repossession where you give them the car or they will at some point do an involuntary where the repo man shows up and takes the car. Answer Wash the car and show up at the dealership. Get a ride home.

The title is only released when the debt or loan is paid in full. If you want the lender to pick up the car, I'm guessing that you can't or don't want to make the payments. The lender can refuse to pick up the car, but, if the debt remains unpaid, they will probably have the car repossessed which will negatively affect your credit rating.

That is up to the lender. You need to contact the lender.That is up to the lender. You need to contact the lender.That is up to the lender. You need to contact the lender.That is up to the lender. You need to contact the lender.

After the lender gets a judgment they can garnish your wages but they cannot getyour house unless you used it as collateral for the car loan.

If you give up your car, cancel your insurance, as you don't need insurance if you don't own a car. If you are talking about a voluntary repossession, the answer, is possibly, on another car. A repo is a repo, no matter if it is voluntary or not. Your credit will be damaged for 7 years, and this may effect you insurance rates. Don't do it or let it happen. Contact the lender and work something out if possible.

That decision would be up to the lender.That decision would be up to the lender.That decision would be up to the lender.That decision would be up to the lender.

If you notified the lender, no. Be sure to fax proof of the bankruptcy to the lender. You also need to let them know approximately when you will be notifiying them as to what you plan to do.. reafirm the balance ( continue to pay) or give up the car. Good luck!

Not right away.Generally:The lender has a reposession company pick up the car and take it to an impound yard.The lender has the title changed to their name.The lender sell the car to a wholesaler, usually for the wholesale book value.From the proceeds the seller recovers the legal fees and the reposession fees. The balance of the money is credited to your account.Now the lender comes after you for the rest of your account balance. The can:Negotiate with you and settle for part of the money.Get a collection company to recover as much cash as they can from you.Take you to court and now the court can garnish your pension to pay off the debt.

Gpysy, they have about a year to come get it. LOL Most wait until you are 90 days late to give you a chance to come up with MONEY and keep the car.

No what he did is called this a repo co. or a private individual? If your car is up for repo the police will not arrest you it is a civil matter between you and the lender.

There shouldn't be.You signed a loan with Americredit that governs your situation. The lender doesn't have to return your car even if you bring your loan current.Once you violate the provisions of the loan they can take the car it is up to them whether they give it back.

If you inherit a car that is subject to an outstanding car loan you need to keep up the payments with the LENDER according to the terms of the original loan. If you default on the loan payments the loan company can repossess the car.

people failed to settle in Roanoke island, though people did not give up to settle on the "new world" so, people wanted to settle in Virginia.

Thats a personal decision for YOU to make. You likely will have to pay for any defiencey balance if you give it up.

Nope. Pure and simple, the car is their property - they own it outright as they put the money up (paid the dealer or private party) so that another could purchase it over time and eventually own the car. The lender will do everything in their power to collect on the debt ... there is no such thing as a "free ride" in America!!

Brandon, yes, the lender can refuse payment. That usually means you have waited toooo long to get any help from the lender. As for the catching up the notes,that question should be answered by the LENDER. You neeed to talk to the lender NOW. Good Luck

Depending on the state of residence, it is possible for a lender to still repossess your car if you get caught up on the payments. Certain states allow a lender to request full payment of an auto loan when borrowers fall behind, even if they have caught up on past due payments.

The car will be sold at auction and bring a relatively little amount of money that will be applied toward the amount owed on the car. After reducing the amount owed by the sales proceeds, the lender will sue you for the balance. Most likely, if you cannot come to a settlement, the lender will get a judgment against you for the amount owed plus costs. This will give the lender the ability to garnish wages or seize assets. Your credit standing will be hurt and you may never get another car loan again unless you prove that you can handle the payments. There won't be any criminal consequences at all. One thing to try before it gets repossessed is ask for some time to sell the car privately, then give that money to the lender. You will get more money and reduce your debt more than by letting the lender auction it off.

If the recovey agent has yet to get the car from you and your lender has got a judgment on you its most likely a repleven and the sheriff or city police are going to take the car from you where ever you are. they also can take you to jail if you do not want to give the car up. you should just call the recovery company thats after the car and tell them where to find the car and what time.

It is true but not likely. The normal is to file a writ of REPLEVIN. The court has the sheriff come to get the car or YOU if you cant/wont produce the car. Just give it up and avoid all the extra charges ect.

two choices here. they have the VIN mixed up with yours OR they have purchased the loan contract from the original lender. Contact the lender and find out.

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.