upside down Help

[Guest]

Guys, was wondering if anyone can give me some advise.

I have a 2006 pickup (ford ) that im crazy upside down (10-15 large ) bought new (never will again)I put tons of miles on rides.

Well was hoping to get into a jeep (of course the one i like is 30 large )ouch

anyways

my credit is solid and i can continue to make my nasty big payment but i was hoping to get into a more fuel econo ride without losing my off road capability

any jeep salesguys out there that can help

[jyoung]

Being that upside down is hard to overcome without adding cash to the deal. Look for large rebates, loyalty offerings, and the lowest APR to help.

A lot of times when you are that upside down it is hard to fit all of that into the cap. A lender will only lend so much and hiding the negative equity becomes really hard after 10K.

Good luck!

[stxhunter]

I will be straight with you, trying to help you out. Almost no one will finance a vehicle with that much negative equity tacked on to it. You need to keep that vehicle for probably another 3 years before your principal comes close to the value of the vehicle. I know it sucks, but when you give minimum monthly payment and no initial down payment you will automatically be upside down for at least three years. Almost everyone is in this situation, especially after the first year of owning the vehicle.

Just to put it in perspective in case someone could finance a new vehicle. Every $1000 over 60 months equals about a $20 monthly payment. So that means if you are 10k in the hole you will be tacking on at least $200-$300 to any monthly payment you choose. For me this would be something very hard to do, your situation may be different.

If you have any other questions I would be happy to help. Your best bet is to hang onto it for now and sell later.

[gofish24]

im afraid that there isnt much advice to give on that. you might try finding a way to sell it out right instead of trading it in and possibly get a little more for it. other than that maybe look into a credit card to put the upside down portion of the debt on. im a lender and those are ways to get around it and get the new car, BUT NOT THE SMARTEST THING TO DO. to be honest you are digging yourself a deeper hole. the best thing you can do is ride out what you have. if you dont have money to pay down your existing upside down portion then i assume you dont have much to put down on the new ride. in which case if you were to put a lot of miles on a new ride as you say you do then you will be right back in the same place you are now. i'd keep up with maintenance on your current truck and make larger payment and at some point it will become more feasible to get out from under it.

[Stins]

Best advise is to hold onto the truck you have, make extra payments on it and drive it until the wheels fall off, then try and pay cash for a good used one next time.

Getting into another note with negative equity is like putting a noose around your own neck.

Sorry and good luck!