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"What are the consequences if I return my financed Toyota to the lender? "

"I financed a new car in February. Since then, I've lost my job and my finances have taken a nosedive.

I don’t need the car and I can let it go, but I also don’t want to make my situation worse. What consequences can I expect from a voluntary repossession?

"

avatar
Johnny Puckett · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
“If you have used all your lines of credit, your credit score is likely already pretty low at this point. And while your score will definitely drop further after a voluntary
repossession
, it doesn’t seem like you can afford to worry about that right now.
The worst consequences you can expect will likely be the fees from your lender and, depending on how much the car has depreciated, the difference in value that you will still be on the hook for. You could still owe the lender several thousand dollars.
Your best option is to continue to make your payments for as long as you can. In the meantime, you can try to
sell the car
. “
View full answer 
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Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.

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