Negative Equity Solution?

Ask the Hackrs
1

Evening all! I’ve been browsing the forums for a few weeks and finally joined :slight_smile:

This is my current situation.

Purchased a 2013 Nissan Sentra SL (all options) from Carmax in 2015, no down payment.
Looking at leasing something else since my new commute to work is less than 10 miles a day as opposed to the 50/day it was before. My Sentra is fine, I owe around $12,900 on it and its probably worth $9k or $10k depending on where I take it. So I’m about $3k-$4k in the negative. Carmax offered me $11k for it about 8 months ago, but that was also about 9k miles ago. I’ve been entertaining the idea of leasing a loaded Chevy Cruze but I’m not sure if the financing would work out. I’d want a 36 month lease at 12k or 15k miles, and I have very little money to put down at signing.

FICO8-Auto8-Auto2
694/703/707 Equifax
683/704/737 TransUnion
690/701/705 Experian

Had a bankruptcy back in 2013 for credit cards, reaffirmed my car loan at the time. Would I be able to get a decent rate? My current loan is through Wells Fargo at 6.09% and I’m paying about $270/month. Id be able to afford up to $400 if needed, especially with the options I want. I just want to have a realistic idea before I start contacting dealerships :wink:

Thanks in advance for the help

2

Please do not pay $400/mo for a loaded Cruze no matter what happens

1 Like
3

Good news is your Auto FICOs are all over 700, so you should be able to get Tier 1 rates.

Assuming a $100 a month add on for the negative equity, you should be able to get a loaded Cruze for $400 a month.

Are you fixed on a Cruze?

4

Not fixed on a Cruze, just looked like they had the most rebates.

5

I think your best bet is to hang around here until you find a good deal to jump on. Not much happening right now, maybe end of April will bring something. Some folks have to get a car in a hurry so they have no choice. Just be patient, you will be able to get a great car for $400/mo or if you want to just stay close to your $270/mo payment with $0 down.

6

I just realized your sentra is a Purchase and not a lease. Start paying 400 a month now to Wells Fargo towards the principal balance of your car and beat that loan down. You said you bought it in 2015, the principal should be coming down faster now even at the regular payment amount. Get used to that 400 payment while you still have the option to fall back down to 275.

7

Kinda already doing that. I’ve always paid more than the $270. Usually $300 or more, so I’m ahead. More so now than before I refinanced the loan for a 3% better rate. Didn’t extend the loan, just lowered the rate.