What do I do about the car?

[twinsplus14me]

We owe more than the car is worth. We are 60 days past due with Citigroup on the loan. They said they need a pmt by 4/30.

We are going to retain our lawyer the first week of May when funds are available.

Should I make one more payment to keep them from repoing it? We are planning on including it in the bk.

I'm not sure if it will be worse for them to repo it before we file, or after.

I have something else to drive when I need to, but would like to keep this one as long as possible as it's nicer and gets better mileage.

[Flamingo]

I all depends if you want to keep the vehicle. That's up to you. Being late by two payments puts you at a high risk of repossession at any time so no one can say if the car will or will not be repossessed by the time you retain an attorney. Have you spoken yet with an attorney about your situation?

[keepmine]

If you are going to let it go anyway, an additional payment is just throwing money away.

[twinsplus14me]

We're going to let it go anyway,

but will it look worse on the credit report if it's repo'd before we file the bk?

Does it make a difference if they come and take it, or we give it up and turn it in somewhere? I've never had to face anything like this before.

[keepmine]

Honestly, why the concern over credit reporting when you can't pay your bills? The car will eventually be repoed if you don't pay. You already have the lates reported. If you aren't going to reaffirm, why waste money?

[Cali]

I agree with keepmine on this.

We have 2 vehicles, we aren't late on payments and were thinking of keeping them both. But now I think we will give up the more expensive one. So I will miss my first payment this month.

[twinsplus14me]

We've decided not to pay....

The payment is already scheduled to come out of our acct on the 30th, so we'll get dinged the $24 when the money isn't in there.

We'll retain the attorney on the 5th or 6th when our income tax refund comes in. Then, I'll ask them what we should do (whether we contact Citi to turn it in somewhere or we make them come get it.)

I hate giving up this car, but it just doesn't make sense financially to keep it.