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Repo on car, need advice on what to do next
I recently had a vehicle through a dealer that does in house financing. Unfortunately for me, at the time of the purchase I had not looked into the actual value of the vehicle, little did i know i was getting majorly ripped off. I bought the car in January of this year, they financed me 13,000. Recently i had found that the car is only worth a little over 3000 dollars, ridiculously upside down. on the other note, the car just wasn't reliable for me, a little over 100,000 miles with worn parts i couldn't afford to pay for with the car payment, and bad gas mileage. with a recent change in job duties and a lot of traveling, i needed to get into a reliable vehicle. i purchased another vehicle, and was looking to get somebody to take over the other car, but had no such luck. so i did a voluntary repo on the vehicle, which im aware looks no better than a regular repo as far as credit goes. so once they auction off the vehicle and report my balance and such, im just wondering what my best option would be. im 21 with a tight income, trying to avoid garnishments. The other problem is if i set up payment arrangements, i wouldnt be able to start paying until my financial situation gets better. additionally i really don't want to pay 8 or 9000 on a car thats worth less than half and that i no longer own. my question is that is there any way to maybe get a settlement on the deal? to where at least if i do end up having to make payments its not a ridiculous amount that im paying on. i understand at the time of the purchase i shouldve looked into the actual value of that vehicle, that was a mistake i'll never make again. just how upside down this deal is, almost 400% of the actual deal, there has to be a way to get from under this. was also wondering if bankruptcy would be something to consider. im also the cosigner on the new vehicle, not the person on the front end. so would that vehicle be ok since the buyer still has it and im only the cosigner?

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Filing for Bk should be a last resort!!! By doing so; you could aslo mess up the reputation of the person you cosigned with if you include that loan in the Bk. Just write a letter to the lender stating how much you can afford to pay each month and do so. It does matter how little you send in, just send something. This will and should keep them for filing for wage ganishments. As far as a lump sum settlement; most lenders would be will to  take a cash payout of 20%-25% off of the original loan value. Bottom line, you made a poor choice making a major purchase. Moving forward always do you homework before entering an agreement with any financial obligation.

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