VintageVibe1976

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I'm 19 and about 5 months ago I got in a car accident. The car that I was driving was totalled and I didn't have any insurance at the time. My wreck was caused by me driving under the influence. I still owe on the car and haven't paid a dollar on the loan since the wreck. The bank that loaned the money said that they would contact me after they figured out what to do, but haven't yet and I haven't gotten any dilinquet notices yet. My question is, Is there a way that I could go to a dealership and explain to them my situation and get financed with a car and have the other loan carry over to the new one? I still want to pay the other car off even though I don't have it anymore. And if anyone has done this, does this really mess up your credit? Thanks.

icarus

Sounds like it would mess up your credit, ive never been in this situation though. If you keep up with your payments on the car you totaled i dont think it would mess with your credit at all. Was anyone hurt in the crash, sounds pretty brutal. Also for financing a new car, I would wait untill, the dealership realizes you have the money to keep paying for the old and new. They could just let you if they sympothized also but you never know.

CWB

hmmm ... sympathetic car dealership , an oxymoron ! ha ! don't let 'em fool ya -- it's about the money !

i would call the bank and find out what is going on . obviously you are still liable for repaying the loan ... start paying it ... the longer you wait the worse it will get .
i don't know about a dealership/lot loaning you money against a totaled vehicle ... not much collateral value there . they may put it all together for you ... but it can get kinda pricey . it may be better to get current with your present loan and/or pay it off (this will help clear up your credit report) . the intrest rates on two seperate loans may be lower than having a single 'high risk" loan .

VintageVibe1976

I called them after it had happened and they couldn't tell me anything. I went to talk to them and they told me that they would get in touch with me or send me a letter about what they were going to do and that was about four months ago. If i get a different job soon I could pay some of it off, can't afford it right now. I prolly wont get another car for 5 more months anyway. my license is suspended.

Cinnamon

No finiancial company is going to loan more than the car being bought is worth - they can't get their money back if they have to repo it. They'll look at your income, what kind of debts you have on your credit report, available credit on cards, and your credit score. It'll be really tough for a single 19 year old with a car loan to pay to get financed on another car. Unless you've got a major income coming in, they may decline you for too much debt (ie monthly credit payments well over monthly income).

Your best bet (considering you've got 5 months till you get your license back anyway) is to work at paying off that exsisting loan as much as you can before trying to apply for another loan. Also see if you can get a copy of your credit report to see what kinda standing you have.

facepeeler

true...I went through this back in January when I bought my truck...I was trying to finance in a warranty, it was only $1600, but they wouldn't do it. Assholes didn't even want to finance the price of the truck, it was only $19,500. I ended up financing through the dealership, because they financed the warranty, plus they weren't giving me the run-around about approving the loan.

as far as your situation goes, I think you're going to have to take out a loan to pay off the other car you wrecked, then apply for another car loan, which might be damn near impossible seeing as how you have a DUI on your record PLUS a massive loan. Who knows, you might get lucky though...

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Cyanide & Happiness @ Explosm.net

VintageVibe1976

I want to start payin it off now or soon, but i cant afford it. I want to go in and talk to them about it, I dont want them to be like hey you have to start paying on it. what would they do if i didn't pay considering that they cant repo it? The car was only $7,500 and the payments are $180 a month with 8.4% interest. I know i cant get a credit card because of delinquet payments. I'm hoping ill find some dealership that really wants to sell a car

CWB

it might be a good idea to go to the bank and square it away with them ... explain your situation and what has transpired ... it would sure beat a judgement against you and garnishment of wages .
i have known people that "missed" payments due to ... (ahem) ... various circumstances ... in some cases the loan/finance company will/can roll the missed payments/intrest back into the loan ... in a way it is sort of like a "refinance" of sorts .
the key point here is to not let it slide (further) ... it is easy to say "they were supposed to get in contact with me ..." , unfortunately this usually does not show on a credit report .
oh yeah ... to the best of my knowledge , most banks/finance places require full insurance for the payment of the loan (sickness , theft , etc etc) ... i have had a few payments made because of injury . sometimes this is thru the institution itself and is part of the loan agreement ... tied right into the payment schedual and is very specific in what the terms are .

Cinnamon

Very true, have you contacted your insurance company? CWB is right that you need to start being a pest to the bank cause you need to know what's going on. You're still young, so if you have a chance to save your credit now; it'll be better for you in the long run. And if you do have to keep making payments since insurance didn't pay out, at least pay what you can. Making any effort to square the loan away (even just $20) will help.

BackdoorJesus

your best solution to get thru this would be to A) continue paying off the loan, so it does not kill your credit, and B) just get a beater for transportation that you can pay cash for, to drive until your loan is paid off.

If you don't have like a grand to do that,you should be trying to raise funds from the family or something. Either way, at all costs, DO NOT try to get another loan before you can pay the first one off.

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124432456

If you really need to get a new car you should look at a new car with a huge rebate. The dealerships use these cars to help people who owe alot more on their trade than what it is worth. Some people can cover $5,000-$6,000 worth of negative equity. I would recommend Dodge, they have very aggresive banks that will tend to work with people who have less than perfect credit. Before I joined the Army I worked for Subaru of America for 3 1/2 years and we ran into these types of situations all the time, we worked with the buyers and about 75% of the time we could get something worked out.
I agree with Backdoor about driving a POS until you can pay off the loan. My advice would only apply if you must have a new car i.e. new job that would require a dependable car.

tres28ram

Ran into that type of situation once, and the best out, is to go to a "We tote the
note" car dealers....they usually let you pay by the week....but miss a payment,
lose the car......