Repossesion of a vehicle

[Caljamr]

I have a friend that has a huge truck payment and can't afford it. He owes to much to trade it in on something cheaper or sell it.
What are some options? Repossesion. Giving back to loan company. Bankruptcy. What are the repurcussions?
Second job is what i told him but he's already working over 50 hours a week.

[yopengo]

Give it to JBB "Bryan" he has a foolproof insurance scam going. :D It worked for his Jeep.

[uLtRADeNniS]

50 hrs a week aint shit.. unless he's a single dad.:D
What kind of truck is it and how upside down is he?

[Caljamr]

50 hrs a week aint shit.. unless he's a single dad.:D
What kind of truck is it and how upside down is he?
2005 Dodge Ram Rumble Bee "Hemi" 22k miles and $6,500 upside down.

[hkunz]

Repossesion and BK are both long term solutions to short term problems. A BK will stay with you for 10 years. A repo will stay longer than that, if there is no BK. That's a long time to pay (in higher interest rates and possible job restrictions - some employers require credit checks) for a very short time problem. His best bet is to sell it, even if he has to put money with it to pay it off when he sells. Worst option: trade in for somthing of lesser value, since he'll end up upside down immediatly.

[WYRD]

If he gives it back it is still a repo and the truck will be sold at auction for wholesale price. Your bud would still be responsible for the difference in price of what is owed on the note plus all the auction fees, tow fees, storage fees, ect. that $6,500.00 could actually turn into $16,500.00 easily which will still be sought after by collection agencies.

[ratso]

Get a second job... save his credit, unless his credit is already screwed, which seems the way things are going nowdays...

[LAFD]

hire someone to make it disappear.

[STV_Keith]

Repo isn't the way to go. They will sell the truck at auction for 1/2 of what it's worth, then come back at him for the other 1/2, plus the interest he didn't pay.
Sell it, then get a personal load to cover the difference (or 2nd equity line or something).

[Ziggy]

Trade it in and get a cheap car, have 'em pack in as much overallowance and work with the smaller payment, then bite the bullet on whatever upsidedown is remaining if they're unable to pack it all onto new cheaper car.
.
All other options will have a bad effect on his credit.

[Caljamr]

Thanks for the comments. I passed them on to my friend. I think he's going to get a loan for the difference, sell it and then just get a cheap commuter car for now.

[Danhercules]

Make sure he has gap ins and then wreck it. Make sure to total it.

[Classic Daycruiser]

Make sure he has gap ins and then wreck it. Make sure to total it.
Like insurance companies havn't seen this trick. No need to worry about your credit, when your in jail for a year or two. Then he'll get out, have no truck and owe the entire balance.
Just get another job at Circle K at night or weekends for a year, and get caught up. Keep the truck, and next year he'll can buy a Used boat to pull behind.
:idea: :idea: :idea:

[Caljamr]

This must go on alot. There's a kid a work that bought some top of the line WRX and he's paying almost $800 a month and lives with mom and dad. Of course he's having problems making the payment and insurance. Shit it's almost $1,000 a month or a rice burner. :jawdrop:

[HM]

They know where you live, so if they repo it, it is your fault. :devil:

[ratso]

Just get another job at Circle K at night or weekends for a year, and get caught up. Keep the truck, and next year he'll can buy a Used boat to pull behind.
:idea: :idea: :idea:
I have friends that work the bar scene, bouncers and doormen should easily make a bill or two a night, Bartenders should make a few hundred a night, barbacks make a third to two thirds of that depending on how they're tipped out... and you get to meet women.;)

[Big Kahunaa]

burn that fer

[WaterJunky]

People need to learn to live within their means. My sister just declared BR over $30k in debt. Poor decisions that last for years. People just need to except that they may not be able to have all the toys all at once. Learn some self control.
I would love to have a boat right now as I sold my a few years ago. It is not the time for it. In a year or so I will be buying.......
Learn some self control.

[RiverToysJas]

Sell it, then get a personal load to cover the difference (or 2nd equity line or something).
Exactly....
$6500 up side down on a 2 year old truck... :rolleyes: ....
When you explain his options, add a part about saving for a down payment next time!
RTJas

[WaterJunky]

Sounds like it is time to step up to the plate and take the licks coming.
Life is a "pay as you go" deal. The drama in the last few days is another example of this.

[uLtRADeNniS]

2005 Dodge Ram Rumble Bee "Hemi" 22k miles and $6,500 upside down.
So I assume the payment is too high for him.
Shit now a days $6,500 isnt that bad. I do know Dodge looses its value way sooner than a Ford or Chevy. I have a buddy at work that is 16k upside down on a Benz(1 yr old):jawdrop:
Maybe he should just trade it in for something smaller.
or...
he can call the bank and ask if they will let hm skip 1 or 2 payments untill he gets back on his feet.
or...
If it has gap insurance..... Have him strip some stuff out of it, then push it down a cliff then report it stolen then next day.:D :devil: ;)

[iRepo]

He can arrange to voluntarily surrender the vehicle back to the finance company if he is not able to secure a loan to make up the difference. Usually by the time people are ready to give a car back to the bank their credit has already taken a hit from late payments, etc., and new loans are not easy to come by. The bank will sell the vehicle at auction and then come after him for the deficiency balance which will likely be far more than the $6500. If he continues to pay on the balance and isn't late and keeps the rest of his credit paid on time it will repair much faster than a bankruptcy. Negative credit items are removed after 7 years. If not you can dispute the item and it should be removed. If his finance company is a client of mine I can assist him in arranging the surrender. Just send aPM.

[ULTRA26 # 1]

So I assume the payment is too high for him.
Shit now a days $6,500 isnt that bad. I do know Dodge looses its value way sooner than a Ford or Chevy. I have a buddy at work that is 16k upside down on a Benz(1 yr old):jawdrop:
Maybe he should just trade it in for something smaller.
or...
he can call the bank and ask if they will let hm skip 1 or 2 payments untill he gets back on his feet.
or...
If it has gap insurance..... Have him strip some stuff out of it, then push it down a cliff then report it stolen then next day.:D :devil: ;)
Dennis,
I'll be watching you :D :D :)

[Stroked&Blown]

Have your friend contact an attorney. Fast. The attorney will negotiate a "work out" loan or will have the finance company accept the vehicle back at pennies on the dollar that he is upside down. Until then he needs to keep the vehicle from being repo'd and send in a "good faith" payment. There is more obviously, but as everyone else has said...dont buy past your means, and if you do....do it once

[uLtRADeNniS]

Dennis,
I'll be watching you :D :D :)
:D
When are you gonna be back at the river? Our weekends have been off....I will be up this weekend and next weekend.

[ULTRA26 # 1]

:D
When are you gonna be back at the river? Our weekends have been off....I will be up this weekend and next weekend.
Oct 6th

[dragboat]

I'm on the Board of Directors with a Credit Union, and on their delinquent loan committee. They don't want your friend to loose his truck, or his credit rating. They don't want it back only to sell it at auction, and to hassle him for the remaining balance. It costs them time, money and a good customer. Have your friend call the loan officer and work it out, it's in their best interest to help, and they will. It's easy to help someone thats honest enough to ask for it. Your friend is as important to the CEO now(very) as he was when he was applying for the loan.
The loan officers are helpful and good at their jobs, talk to them about payment arrangements.;)
The collection department is dedicated and very good at what they do as well.:devil:
Always a good idea to talk to the person in the best position to help you first.

[suckin&pumpin]

I'm on the Board of Directors with a Credit Union, and on their delinquent loan committee. They don't want your friend to loose his truck, or his credit rating. They don't want it back only to sell it at auction, and to hassle him for the remaining balance. It costs them time, money and a good customer. Have your friend call the loan officer and work it out, it's in their best interest to help, and they will. It's easy to help someone thats honest enough to ask for it. Your friend is as important to the CEO now(very) as he was when he was applying for the loan.
The loan officers are helpful and good at their jobs, talk to them about payment arrangements.;)
The collection department is dedicated and very good at what they do as well.:devil:
Always a good idea to talk to the person in the best position to help you first.
Thats good advice in the last 3 months we have dealt with a lay off, a surgery and now the wife has advanced emphysema, and cant work, so needless to say things got tough but answer that phone explain and ask for help, the finance companies were understanding and allowed us extra time and some even allowed a skipped payment, Its tough to say I cant pay you but people still want to help

[PHOTOGLOU]

2005 Dodge Ram Rumble Bee "Hemi" 22k miles and $6,500 upside down.
I have helped out people with more negative equity lower there pmt... It all depends on how bad they need a vehicle or is it easier to give up a second vehicle.... With a repo they will still assign it to a collection company for the difference...

[jimslade]

" I sunk my truck" worked before!

[Caljamr]

I'm on the Board of Directors with a Credit Union, and on their delinquent loan committee. They don't want your friend to loose his truck, or his credit rating. They don't want it back only to sell it at auction, and to hassle him for the remaining balance. It costs them time, money and a good customer. Have your friend call the loan officer and work it out, it's in their best interest to help, and they will. It's easy to help someone thats honest enough to ask for it. Your friend is as important to the CEO now(very) as he was when he was applying for the loan.
The loan officers are helpful and good at their jobs, talk to them about payment arrangements.;)
The collection department is dedicated and very good at what they do as well.:devil:
Always a good idea to talk to the person in the best position to help you first.
Very good advice. Thank you. I'll pass it on.
I remember getting my first credit card. My mom said if you come to a point that you can't make the payment call the company. They will work with you.
I've had to do this a couple of times and it's saved me a ding or two on my credit report.

[Caljamr]

I have helped out people with more negative equity lower there pmt... It all depends on how bad they need a vehicle or is it easier to give up a second vehicle.... With a repo they will still assign it to a collection company for the difference...
PHOTOGLOU
I sent you a PM.

[MBlaster]

Learn some self control.
Mrs MBlaster keeps telling me this. I just can't do 20 minutes.

[6 Dollar Boat]

Thanks for the comments. I passed them on to my friend. I think he's going to get a loan for the difference, sell it and then just get a cheap commuter car for now.
That's the right answer....