Hey gang, so i bought a 23 nissan versa right out of college for 27,000. I could afford it then but lifes getting tight, i might be losing my job soon. The loan is dpwn to 23,000, i pay 400/month in the loan and 200/month on insurance. I was looking at selling it and buying my friends old prius, but the damn thing is only worth 14,000 now. What do i do? Am i just trapped now?
How to get out from upside down car loan?
byu/SulliedEntrope inpersonalfinance
Posted by SulliedEntrope
7 Comments
Unless you have cash to cover the difference, which I assume you don’t, then yes, you are stuck with it.
Keep driving it. There is no magic bullet.
You’re stuck with it unless you have a pile of cash to make up the difference.
Dave Ramsey wouldn’t say youre stuck. Plenty call him in this exact situation and he helps find a way for them to get out. May suck, but it works
You’re trapped unless you have the cash to make up the difference between value and outstanding loan.
Unfortunately you’re stuck unless you have the cash to pay the difference. That’s the catch with buying new cars. Most of them drop in value the moment you purchase them
In order to sell the car, you’d have to come up with the remaining $9k that you are underwater. You can’t sign over the car to somebody else w/o paying off the loan to clear the lien on the car. So if you have $9k, bring that cash to the table. If not, you’d have to get that money elsewhere. Borrow from a friend or family member. Or take out a personal loan for that money. But in that scenario, it’s possible that the personal loan and the payments for the Prius would be just as much as your current payment. So that may not even help you with your money situation.