Not sure if this is the right forum but giving it a shot. Im currently underwater about 8k in my 2018 Rogue (rolled my previus loan into it). NFCU wont refi. Reading that leasing might be a good option of getting rid of the neg equity of the Rogue. Ideally would like to get a pickup. Looking at a Chevy Silverado. Current FICO auto scores are right at 700. I’ve never leased before and was looking for guidance on how I should proceed. First and foremost, can I get decent lease deal with a 700 score?
What is the interest rate on the current loan? What is the payoff? How did you come up with the $8k number (believe you just trying to understand)?
You have several issues working against you:
you are borderline/unlikely to get Tier 1 (lowest rate) financing without a cosigner or a 1-pay lease with a 700 FICO. You’ll get approved but likely bumped.
$8,000 is a lot of negative to bury (says the guy who once buried just about that much in a lease)
Silverados (most trucks) don’t lease especially well, the residual is usually high, but also the MF is usually high, meaning you are paying 3-7% interest on the utility of the lease AND the negative
hoping to reduce the current monthly pymt. With the previous loan rolled into the Rogue, my current monthly pymt is $750. Was hoping a lease with the equity would have a lower payment.
Also a Rogue cant tow the boat I plan on getting in a few months.
K I’m gonna be that guy and yes I’m fun at party. You are on the way rolling into bankruptcy quicker than you could have thought if you keep doing this.
Whoever told you to lease a car to roll negative equity in is the person you no longer want to hear any financial advice from. To be completely honest you need to keep driving that Rogue, there’s no way to mitigate the negative equity. A Silverado will only increase your cost of operating vehicles per month, not reduce.
But again you could have a very healthy income but just made this bad purchase earlier, car payment is really simple math, you can figure it out especially with help offered here
My job here is be the bad cop and hopefully prevent
and
Your job @ethanrs is to find him a Silverado with a big enough bed to take 8-large to a landfill (and hopefully tow the steam shovel needed to dig its grave).
What is your expectation when it comes to lowering your monthly payment? If you are correct about the negative equity you are starting at $222 dollars a month behind the 8 ball, assuming a 36 month lease.
There is a lot of good advise here, But I am afraid, op like @max_g said there is no magic bullet. Head down, additional payments, lowering the balance over the course of time is your best bet, it is not sexy, but it is what it is.
