What do I do if I have $10,000 in negative equity on a car loan and can't make payments?

"I'm upside-down on my car loan by $10,000. I can't afford to make payments on the loan anymore.

What can I do?"

Answer provided by
Eric Schad
Answered on May 26, 2021
“Essentially, you have two options:
The first option is to sell your car and put the proceeds toward the balance of the loan. Then, you should talk to your lender about a payment plan on the remainder of the loan.
The second option is to refinance your car and hope that someone will take over your loan (although this seems unlikely because of your $10,000 in negative equity).
For the future, being $10,000 upside-down on a car loan is a telltale sign you’re making a risky investment. Try to take this as a learning experience moving forward.”

Did this answer help you?

Ask us a question by email and we will respond within a few days.

Have a different question?

You can meet us at our office and discuss the details of your question.

Easiest way to compare and buy car insurance

No long forms
No spam or unwanted phone calls
Quotes from top insurance companies