Ive finally decided to keep my car, because ill be screwed either way. Basically i got a bad deal on MY00 and im starting to feel that, so idecieded to cut my losses and and get a newer car, but seeing that im only 19 and this is basically the 1st car i financed i realized that i wont get a better finance rate, especially since im upside down, so i decided that i might as well stick with this one and rough it out. And maybe ill get a new car later, when its really needed.

 

so, you paid too much up front?

 

^^Yeah what gives?

 

No I pay too much a month, I got a very high intrest rate and with no down payment it really hurts the pocket on the 1st of the month. I got the car for 16500 and after all of the finance charges it came out to just over 20000.

 

Well, are you really upside down.. or will you only be if you pay out the remainder of the loan. So, is the one day payoff quote higher than the value of the car? If so, then you are technically 'upside down' I suppose. Otherwise, you could sell the car, pay off the loan, and not lose any more money. You will not recoup what you've already paid in interest, but you won't be getting raped every month. I wouldn't consider you to be upside down in that situation, because right now, today, you don't owe more than the car is worth.. you only owe more if you keep the loan and continue to rack up interest.

I'm curious who you financed through? I would look around for a credit union that will allow you to join, as they typically give better rates and you could refinance.

 

What's your rate? Keep in mind, buying an 8y/o used car is always going to be a higher rate than a brand new/1-2y/o car.

 

Yea i am really upside down. I owe like a lil over 17,000 and the car is worth like 10,000-11,000. I was thinking of joining a credit union and doing that. My rate is 13% as a 1st time financer. i Also got citifinacial auto as my financer.

 

Sure it was a long debate and not a "mass debate"?

 

lol maybe it was

 

OK yes you're really upside down then.. that stinks.

13% is pretty high.. but at 19 I probably didn't have good credit either. Citi bank is certainly partially to blame though. I bet you can get a much better rate at a credit union, if you can find one to join.