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Posted in Auto Loans
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cinswa76

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What should I do with car loan on a car that no longer works?
I have a lien against with Citifinancial one of my cars and it no longer works. I am still paying the monthly $200 car payment. I have another car that is newer and that's the car I drive. Both car payments are up to date and on time because they are deducted automatically from my account each month. I feel that soon the lien will become a financial burden. What do I do with this car that does not work?

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I don't know your balance but I would try to sell it to a car repair outfit.  Salvage what you can and pay the loan off.  If this is not possible keep making payments.  I'm guessing you owe between 7k and 10k.  Did you get a estimate for repairs?  Repair and then sell.  That's what I would do.  Good Luck.

Top Contributor
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you have several options-

1) keep the car, keep making payments

2) keep the car, stop making payments, and let them repo it.

3) trade the car in either alone, or in combination with the second car you own. 

( why wasnt this car traded in with you bought the car you are driving now?)

4) try selling the car as it sits, and then be ready to pay off the shortfall between the sales amount,

and what you owe the bank.  You should call the bank and see if they would aloow someone to assume your loan pmts, and just exactly what they would need to release the title... they are gonna want paid before anything gets done, so ask for their help, and see what they say... don't make a big deal about the fact you have another car, or that the car you want to sell doesnt run.. frankly they could care less..

just let them know you are in a bind with this payment, and ask for their help.  

5) repair the car as cheaply as possible then sell, but make sure you cover yourself with a signed statement from the buyer that-- " this vehicle is being sold AS IS with NO WARRANTIES OF ANY KIND, wirtten or implied." Make sure you have the buyer sign the document, and give him a copy, and save on for yourself.. this way.. when it breaks down again, you have some thing written with buyers signature that will back you up.

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