GIVE CAR BACK: WHAT TO DO WHEN YOU CAN’T AFFORD MONTHLY PAYMENTS

There are a few options when you get to the point of wanting to give your car back. Each one has its pros and cons, and sadly, very few end up without negative consequences. Here are the best options for you to consider.

INVOLUNTARY REPOSSESSION

This is the classic vehicle repossession you know and should be an absolute last resort. You stop making payments, and eventually, the repo team comes and takes your car.

VOLUNTARY REPOSSESSION

With voluntary surrender, you continue to pay the lender but call up the financing company and tell them you don’t want the vehicle any longer. If they agree to voluntary repossession, they will take the financed vehicle and sell it.

TALK TO YOUR LENDER

Before you choose voluntary repossession of your car, consider first calling the finance company. Tell them you are struggling financially and see what they will do.

TALK TO THE DEALER

Sometimes, the finance company won’t help or offer a solution that works for you. When this happens, contact the dealer where you bought the car.

SELL YOUR CAR

Selling your car allows you to get out from under the loan. The problem is, most times, you will get less for the car than what you owe.

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