I need answers please

I have a 2016 Jeep I am not leasing I am financing however, my payments are too high and I cant afford it anymore I am really struggling. I still owe about 20k on my jeep which is about 10 k more than what it is worth. I dont want to voluntary repossess my vehicle because and I dont want them to involuntary repossess my vehicle as well. I heard I can lease a new vehicle to help me lower my payments and my loan will be gone is this correct?

I’m not sure how you can already be 10k upside down on a 2016 Jeep. However, if you were to lease a vehicle and trade this Jeep in on it, you would still be paying for the negative equity you have on your current vehicle.

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What Jeep is it? Take it to carmax and see what they offer you for it.

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Is 10k too much for me to upside down on?

2016 Jeep Patriot not even a wrangler or anything the cheapest model jeep there is

It seem to be for a car that new unless you got terrible terms or something has happened to the vehicle other than normal depreciation. Maybe if you posted the original numbers and where you are getting the current value it would help. The Carmax suggestion is also good. It couldn’t hurt to get a free offer from them.

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If your correct, 10k is a hefty amount of negative equity, I would know, my 16 Prius four touring has about 8k of negative equity and that was with a 15% dealer discount… how much is your monthly payment?

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Depends on the value of the vehicle you plan to lease. Some manufactures will carry 10K on a lease but you’d need super credit to get the deal done. It’ll also cost you around $250-$275/mth to carry 10K in negative equity.

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You must have the year wrong. 10k already is almost 50% depreciation. Like everyome said post some numbers, msrp, sales price, payment terms, etc.

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I have a 2016 Jeep Patriot financing payments a month are 388.36, I owe about 21k on this vehicle, I used KBB and the value of my vehicle is worth about 10-11k, I purchases my vehicle in February I’ve had it for almost a year

My interest rate for my vehicle is 6.9%

MSRP I have to get the window sticker but originally my vehicle was about 24k.

It does look like depreciation dropped off a cliff. Did they give you much of a discount on the vehicle? It looks from my calculations that you paid full MSRP for the vehicle. If so, what dealership (stealership) was this? The interest rate also looks to be about double what it should be which isn’t helping. I wish I could go back in time with you and fix this. You might be able to get into something like one of loberant’s mini coopers for a low monthly payment, but you’d still be paying off the negative equity on your Jeep at roughly $250/month plus the cost of your new lease. You are still going to end up about where you are now with payments though. Have you talked to whatever bank you financed this through to see if you can work out better terms? Usually they are willing to work with you if the choice is better terms or defaulting on the loan.

I was told that I was given a discount but now i’m starting to think I was ripped off. I’m hoping I can refinance but my credit has dropped, trading it in won’t work I am seriously struggling with the payments on this vehicle.

No that is not correct. The loan does not disappear, you are still liable for the difference between trade in and balance. In the case of 10k negative equity, it is hard to lower the payment in a lease.

Have you tried refinancing your current loan with a credit union etc? You should be able to lower the % rate with decent enough credit. If your credit is the issue, then a lease won’t help since leases also look at the credit score.

How many months is the loan for? You credit score will determine your interest rate. Man sorry you in a bind here but like vhooloo posted best bet is to refinance and extend the term of the loan maybe. Man if you live in a major metropolitan area try to use the public transportation and try to give this car back to the bank. Build your credit and savings and then come back for suggestions on getting a better lease deal. I assume your insurance rate will be affected by the credit score as well.

Won’t see me defending dealers often, but this is ludicrous. A customer paying MSRP makes the dealer a thief? There are many ways of actually ripping people off, but paying sticker isn’t one of them.

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Well in this case i suspect not only msrp but they tacked extra insurance and what not probably. I assume loan is for 72 month at minimum as well. First mistake is to discuss monthly payments onky with the dealer.

In this case, most definitely. We aren’t talking about some limited edition car like a Hellcat where people expect to pay MSRP. We’re talking about a glorified Dodge Dart that they sold 270,000 of. It’s criminal for a dealership or salesperson to let anyone pay full price this vehicle. It has a 50% depreciation after 1 year.

I am shocked hearing all of this because I was completely blind and taken advantage of, is there anything I can do to better help with this situation and I am financing for 60 mos.