Can I Trade in a Car That I Still Have Monthly Payments On?

It is possible to trade in a vehicle that still has an open loan. To determine whether or not doing so benefits you financially, check your vehicle's value and compare it to the car's remaining pay-off amount. If you owe more than the vehicle's loan amount, you may have to carry over money from your old car loan into your new one. Vehicle's Value Get an idea of how much your car is worth before bringing it to a dealer for a trade-in appraisal. While Internet appraisal websites differ in value estimates, you can determine an average trade-in...

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How to Skip Trace for a Repo

When a person skips town and moves to an unknown location to avoid having his vehicle repossessed, it can be difficult to locate the car. Repo men have to be creative, organized and investigative to locate the new address of the person. When running a "skip trace" for a repo, it's important to keep track of all types of information, whether it may seem relevant or not. Knowing whether the person is married or not, where his family lives, and even...

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Is There an Advantage to Paying Off a Car Loan Early?

Car loans act much like mortgages, with several primary differences. Car loans tend to have lower interest rates, except for risky borrowers. The interest paid on a car loan does not fall under any tax exemption status, unlike mortgage interest. But because car loans are for such lower amounts than home loans, borrowers can pay them off more quickly and can often make extra payments to retire the loan early. There are several advantages to paying off an auto loan early. Interest Interest payments are much easier to handle if a borrower...

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How to Estimate Car Taxes

Considering that some counties in the United States charge more than 8 percent sales tax on vehicle sales, it is a good idea to figure out your sales tax before making such a large purchase. If buying a car privately, you can expect to pay your state taxes when registering your vehicle, but if buying from a dealership, you'll pay your taxes during the transaction. Learn how to find your state and county's sales tax rate and how to apply it. Instructions 1 Call your state's motor vehicle office to find out your exact sales tax amount. Have...

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What Happens If I Don't Pay My Car Loan?

Before you decide to stop paying your car loan, due perhaps to your inability to afford your vehicle or lack of desire to hang on to it, understand the consequences. Late Notices and Calls If you stop making payments on your car loan, your finance company will begin to send you late notices and phone calls. If ignored, the frequency of phone calls made by your financier will increase, with you receiving calls at your home, job and at some point to your listed references until communication is established. Payment Plan Option Your...

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How to Sell a Financed Car

If you're looking to buy a new automobile or get rid of your car payment, you might be interested in how to sell a financed car. Selling a financed automobile is different than selling a paid-off car, and some car sellers don't make any money off of the deal. Yet, if you're hoping to purchase a new car, selling the vehicle yourself is often better than trading in the car. Instructions 1 Contact your creditor. Call your auto lender and ask...

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How to Make a Payment on an Existing Car Loan

If you just bought a car and don't know who to make your payment to or which form of payment to send, you should contact your loan provider to ensure you follow your lender's guidelines. Doing so can decrease confusion and ensure your timely payment is correctly applied to your loan. Most banks do not accept a credit card for payment; cash, balance transfers, check or money orders are commonly accepted. If your lender is local, you can go in to the...

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Things to Consider When Leasing Car

Leasing a car gives you an alternative to buying the vehicle. A lease is similar to renting a vehicle long-term in that you don't actually own the car. At the end of the lease, you have the option to turn in the vehicle or purchase it. Lease payments are generally lower than the car payments would be for the same vehicle, but you should analyze all of the terms to ensure you understand the agreement. Time Frame The length of a lease varies...

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How Can a Person Having Bad Credit Get a Car Loan?

No matter how you look at it, bad credit means most lenders want nothing to do with you. Some creditors, however, specialize in auto loans for people with bad credit---called subprime borrowers. Going to a subprime lender typically results in a tough decision, because he might offer a loan, but at a highly undesirable rate. Subprime Lender The most likely source of a car loan for a borrower with bad credit is a dealership that has a loan officer who deals with subprime consumers. Any subprime lender must charge a higher rate to a bad credit...

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What If I Don't Get the Title When I Purchase the Vehicle & the Lien Holder Must Send for It?

Anyone should be very wary of purchasing a vehicle when the seller does not have the title. The title to a car represents proof that a person legally owns the vehicle and has the right to sell it. If someone is selling you a vehicle without a title, you have no way of knowing if it is clear of outstanding liens. Lien holders send for the title if you live in a title-holding state. In non-title holding states, you have to apply for a lost title at the Department of Motor Vehicles or Secretary of State's Office. Vehicle Financing Titles If...

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Is an Early Car Lease Termination Bad for Your Credit?

An early car lease termination is not bad for your credit, as the early lease termination requires you to pay an agreed-upon amount to end the lease ahead of its scheduled maturation date. However, if you simply stop paying your lease payment instead of formally terminating the lease with the lender, your credit score will fall, and the vehicle could even be repossessed. Remaining Lease Payments The largest component of a lease early termination...

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Statute of Limitations in North Carolina on Auto Loan Default

A statute of limitations is a rule of law that prescribes a certain period of time within which a plaintiff must file his civil lawsuit in court. Each state establishes its own limitation period for various causes of action, e.g., negligence, fraud and breach of contract. North Carolina has established a statute of limitations period for actions by creditors to recover the default balance due on an automobile loan. Identification An automobile loan is a legally binding contract in which the creditor loans the borrower a lump sum for the...

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How to Cosign for a Car

A borrower who does not qualify for a car loan may be able to receive an approval by applying with a cosigner. A cosigner is often necessary when a borrower has no prior credit history, or when the borrower has a bad credit rating. The creditworthiness of the cosigner will determine whether or not a lender approves the car loan request. The monthly payment on the loan may affect the cosigner's decision to sign for the borrower, since the cosigner...

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Should I Sell My Upside-Down Car to Get Out of Debt?

If you have a car loan you can eliminate from your current debt, do so to decrease your monthly expenses. Unless you have a zero-percent loan, you are paying unnecessary money toward interest. Because your loan amount is more than your vehicle's sale value, you must come up with extra cash to satisfy your loan amount. Consider the process of selling your upside-car to determine if it can benefit you. Satisfying Your Loan If you're upside-down in your car, you must pay to satisfy the loan balance after you receive your sales price to release...

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Can You Terminate a Vehicle Lease?

You can terminate a car lease and break your contract. Terminating the contract may prove expensive, so you may want to explore other options before you decide to do so. Termination details are outlined in your lease contract. Expect to pay a termination fee and any payments remaining on the lease contract. Determining Fees To determine the cost of terminating your lease, review your contract or call your leasing bank. You can expect to pay a termination fee, which usually exceeds $1,000; the actual cost differs by bank. Expect to also...

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Can You Still Purchase a Vehicle With a Suspended License?

If you have your license suspended temporarily, it could inhibit your ability to buy a car. Whether you will be able to buy a car while your license is suspended depends on how you will pay for the car and what the laws are in the state in which you reside. State Laws Some states require you to have a driver's license when you purchase a car and register it. Other states do not look at whether you have a valid driver's license when buying a vehicle. For example, in California, you do not have to have an active driver's license before you...

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How Big of a Car Loan Should I Take Out?

Car loan terms are commonly offered for as few as 24 months and as many as 84 months. While a longer term can warrant a lower payment, it may not prove to be your most beneficial financial option. Additionally, a borrower's term and finance amount is based on credit, so you may not have all terms or the lowest rate options available to you. Consider your present and future finances before you purchase a car. Your Budget Before determining how big of a car loan you should take out, figure your monthly budget and the amount you can comfortably...

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How to Calculate an Automobile Payoff & Late Payment

Staying on top of your finances is critical when dealing with loans of any type, and one of the best ways to ensure proper and consistent management of your finances is to become familiar with loans. Car loans are often considered too difficult to understand, but with basic math, or the use of an online calculator, the average automotive borrower should have all the tools necessary to be informed and financially responsible. Calculating your automotive...

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