ExpertLaw.com Forums

Settling a Car Loan Debt After Default

Printable View

  • 03-02-2018, 02:25 PM
    firemartinez80
    Settling a Car Loan Debt After Default
    I bought a car in 2016 and it was financed with Capital One Auto. I made the monthly payments always on time for the first year, but then unfortunately I had a big court case involving a divorce and 99% of my finances went to court fees, attorney fees, etc and leaving me with little to no money for bills but the essentials.

    It has now been about 5 months since my last payment and Capital One has sent me an offer to settle the loan debt. The amount owed on the loan is $18,000 and the settlement offer is $9000 Unfortunately after all I have been through, there is now way I could pay the past due amount owed on the loan to bring it current and then make the monthly payments.

    So my questions are..... Could I sell the vehicle and pay the Settlement Offer in full? If I settle and pay the amount they are asking, will I get the Title for the vehicle? How much would doing a settlement hurt my credit score as opposed to it getting Repossessed?

    Thanks in advance for any help!
  • 03-02-2018, 02:28 PM
    PayrolGuy
    Re: Auto Loan Advice
    The first question would have to asked of the lender.

    I don't see how you wouldn't.

    It will show as a $9000 default.

    And you may owe taxes on the $9000.
All times are GMT -7. The time now is 11:43 PM.
Powered by vBulletin® Version 4.2.4
Copyright © 2023 vBulletin Solutions, Inc. All rights reserved.
Copyright © 2004 - 2018 ExpertLaw.com, All Rights Reserved