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Posted in Auto Loans
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AEL80

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Given these conditions/circumstances, could I get financed for a lease?
I currently have a seriously bad score, but I plan to pay off everything in collections with my return and get caught up on my car. Problem is I was screwed royally by the dealership, and I'm not only paying $120 more a month to the same lender I was already approved with at a lower payment, and I'm upside down over $10k! If everything is paid off in collections, and I make a few car payments on time, will I be able to trade in my vehicle for a lease with hopefully a lot lower payment rolling over the negative equity in my current car? My debt-to-income ratio is low (I think 24% is low?) as the only thing I have is my car payment and monthly household bills.

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I should add...

While I'm sure they can't get me a lease, my credit union does offer financing with a highest interest rate of 9.5% (compared to 25.39% I'm at now), and my minimum FICO score has to be 550.

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Try to get PAY FOR DELETE AGREEMENTS on the collections and unfortunately face the reality that it is highly doubtful anyone will take a car that is ten grand underwater. If you have missed/late payments on your current auto loan that will not help your situation either. The only thing that you can really do at this point is to suck it up and just keep paying or let the car repo and take the further hit to your credit, the only problem going that route is that you may be sued for the difference of what is owed on the loan vs what they recoup from selling the car again. Maybe talk to an attorney in your state that handles consumer law, credit law or a bankruptcy attorney may even have valuable advice. Good luck and remember with some hard work and time you will get through this.

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