I wonder how the credit union is doing through all this. I know I won’t be able to pay my car loan if I get the axe, so I’m sure many others are in the same situation. I’ll just walk away from it & take a hit on my credit. I’m not sure what other consequences there would be, but I have no choice.
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LOL, think about all the employee purchased homes via Bank! How many are going to be given back to the bank when the mortgage can't be paid and a buyer can't be found and they will only be worth dimes on the dollar at best.
You won’t just take a hit on your credit. You will default on a loan. Your car will be repossessed and the loan will be sent to collection. They can garnish your future wages, tax refund and get a judgement. A derogatory mark from a default stays on your credit report for 7 or more years. You will have difficulty getting a job, leasing an apartment or getting any kind of loan or credit. Sell the car and buy a clunker. Do not default on a loan.
To the OP.....don't know the circumstances of your loan but don't just walk away from it. Taking that kind of negative hit on your credit will follow you for years. Not to mention, your prospective new employer will probably run a credit report on you! You can still keep an existing loan through the credit union and maintain membership following the QTD. You just can't take out a new loan following that date (if I read the information correctly). You may want to consider a refinance and spread it out to buy you some time and make the note affordable until you land back on your feet. I also have an auto loan that I'll still owe on at the time of my QTD. Not yet sure if I'll pay it off with some of the severance money or refinance.
Just my $.02
So refinance through another lender? Sell the car? Sticking your head in the sand isn’t a logical or adult way to deal with hardship.
The day I left I pulled every dime I had out of that credit union
Not only will you take a credit hit but your vehicle will be repossessed so you’ll have no car and a credit hit.
This is exactly why you dont purchase a car on credit and only buy what you can afford at the time. People need to learn to live within their means. A $2000 car will get you around fine until you can save up and purchase something better.
I don't know where you work or what you do but there are plenty of carriers who are hiring. Ruining your credit is going to refect on you. Review your options before the shoe is dropped.
The state raised taxes overnight. I couldn't pay car payment. Keep getting more behind. Went to car dealer and sold them the car. Better than getting it repoed. And ruining your credit