Do I still owe money on my Cadillac car loan if it breaks down?
"My Cadillac Escalade recently broke down. The repairs cost more than the loan balance.
Do I still have to pay back the loan balance on the car in this case?"
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Answered on Jun 18, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
“Yes, you’ll have to continue making payments on the vehicle. In your situation, you’ll have to weigh the pros and cons of getting the repair.
Certain repair shops might have payment plans or financing, so you can get your car back in working condition without having to pay the entire bill upfront.
If you choose to repair the vehicle, remember that you’ll need to keep paying your loan; the condition of the vehicle has nothing to do with your obligation to pay.
You could also sell the vehicle, put the money toward the loan balance, and purchase another car. You’ll still have to pay off the remaining balance of the loan, but this might be a better financial option.”
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