Cant continue with car payments! HELP!

zakaroo

I used to have a good job which paid me £500 per month on top of my wages to pay for a car, so I got one that costs £500 a month. 2 months ago I lost my job due to recession and can no longer afford to pay the car. My finance agreement means that I can hand the car back in about a year or so but I don't think I can keep paying for it until then, the finance company say that I cannot pgive the car back early and then they sent me a settlement figure that there is no way I can pay back! Is there anythin I can do to help myself out of my self - inflicted problem? All sensible suggestions appreciated, it has become a real milestone around my neck and I am losing all kinds of sleep about it.:)

NickWarren_2

Would the current re-sale value of the car pay off the finance?

Obviously the car is not yours to sell, However If the value paid off the finance then you could have the purchaser pay the finance company direct for the car, Although some people will be put off buying a car in this way. I am guessing however that there will be a shortfall in the difference of what you get for the car and what you owe, In which case would it be possible for you to make the difference?

Ultimately I suppose if you can't keep up the payments or get rid of the debt then they will re-posses the car, Where it will be sold at auction for less than market value so you will still be liable for the shortfall, So maybe best to do it on your terms rather than theirs IYSWIM.

petrolhead69

*nick posted while I was typing so some of what i said is just a repeat*
How far upside down on it are you? could you sell it for reasonably close to the settlement figure or is the difference too big? even if you have to pump some money into it at this end it'll be cheaper than having repo fees and a cheap auction sale if you cant make the payments? According to what I was told by a black horse employee you can sell a car with finance owing if you provide a signed receipt to the seller stating that you retain full liability for the finance and that you use the money from the sale to pay the finance off.
Have you spoken to someone a bit higher up at the finance company to see if you can come to an arrangement on the payments?

Failing that do you have a couple of evenings a week you can spare? when I was made redundant straight after moving into my first house I delivered chinese takeaways, after tips and once i'd filled the car with autogas after i'd finished I was easily clearing £70 a night plus a free meal.
Depends how much your car or credit rating means to you how far you want to go to protect them.

xycom1

Selling privately, either the buyer should pay the finance company directly and any additional balance to the former owner or if the car is worth less than the finance settlement, both buyer and seller making payments to the finance co.

Also if it's a reasonably new car and you want a v.quick disposal, could try main dealers/we buy any car, etc. but beware that they will give you a very low trade price.

mqandy

I think you might have your

s

confused with your



:rotfl:

zakaroo

Oh yeah - oops!

Inactive

You cannot afford to pay for your car, yet you want to buy a van?

Doesn't add up.:(

http://forums.moneysavingexpert.com/showthread.html?t=2366879

zakaroo

I'm gonna kill my sister in law - she admite to adding that post while I was logged in and out of the room, maybe she can lend me the money!:D