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
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.
Browse by topics
What others are asking
Am I covered for hardwood damage after a sink overflow?
My kitchen sink overflowed, which caused damage to my hardwood floor. Will home insurance cover this?
Apr 02, 2021
What happens if my auto insurance lapses?
I completely forgot to pay my auto insurance bill. It has only been a few days, though. Will I have to start my policy over?
Apr 19, 2021