Overhaulin'

Upside down on car loan?

I am in a bit of a quandary, as I am upside down on a car loan. I have asked the loan company to come and get the vehicle and they're not willing to do this peacefully. They are recommending that I try to sell the car, but I don't know how I can sell a car that there is going to be a balance left on. In essence, I have already acquired another car that is more affordable and I'm not going to pay anymore payments on the car I'm upside down on. I realize that I am responsible for the remaining balance, but my feeling is they will have to stand in line with all the other creditors. Another part of this is my bank account is with the same company I have this loan with, can they take funds deposited into my bank account to pay for this loan? I would appreciate any help on what I should do, that would be beneficial for me.

Public Comments

1. First of all, before they can take money from your bank account they will need to have a judgement against you issued by the courts no matter where you bank. Which they will do if you don't make arrangements to pay off the remaining balance after they take the car and figure out what it's worth. A repo is very bad on your record... you should try anything to get this car sold, maybe see if someone would want to just take over the payments rather than you selling it outright? Just make sure that everything is put into their name!