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Making Car Payments in Hard Times

2

Comments

  • jocutojocuto Posts: 7
    I wish you all the best of luck
    and should the "terms and conditions" of your own contracts/financial obligations/homes or health be effected by the economy or otherwise.
    Don't complain, don't question, don't try, don't challenge,...remember what you've told me here.

    Nothing should be personal you are right. But be careful about personal judgements with so little knowledge.

    Life doesn't always go as planned.
    Just pointing out the hypocritical thinking process of our decision makers both in large corporations and in goverment.

    I still hold a real estate license, I know the "terms and conditions" of an 8 page contract that I explicity and thoroughly explain to each and every client until they fully understand. Do you honestly believe that both mortgage brokers and car dealers are doing the same? Do you think we (our economy) would be here now if that was the case?

    Very wise experience?

    Please explain in full detail how one obtains this and how you have chosen such a title?

    I do not know how wise, educated or intellectual either of you are, but we have a serious problem in the US right now. I am challenging the system. I posted my letter to Chrysler Financial, ...I made my opinion, thoughts and point. You have made yours. I don't have time to post in forums all day, but I really do wish you both the best.
  • verdugoverdugo Posts: 1,987
    jocuto,

    IMHO, you have some pent up anger. Need to take a deep breath and relax.

    Best of luck to you.

    A.
  • euphoniumeuphonium Great Northwest, West of the Cascades.Posts: 3,321
    As you still hold a RE license, you are subject to Continuing Education courses.

    Be sure to attend the one on "Contract Law".

    I've entered into a lot of agreements over the years and am most proud of my Marriage Contract which has lasted over 54 years. Even the RE business didn't threaten it. ;)
  • jocutojocuto Posts: 7
    I just finished my CE courses a few months ago. I did attend and pass the class on contract law. Congratulations on 54 years. I was not married when I practiced RE full-time so I'm not sure how RE affects a relationship. I know it is very demanding and kudos to you for sticking together and keeping a marriage for so many years. That is something to be VERY proud of, practicing RE or not.
    I am extremely impressed and wish you many more!! My granparents just celebrated their 63rd wedding anniversary.
  • jocutojocuto Posts: 7
    Are you serious? Is that all you can come up with?? In response to issues we are debating???? I'm still laughing that you can't give me a description of how one obtains wise experience. You agreed so you must know the facts right? My co-workers are laughing their [non-permissible content removed] off. Pent up and anger are not accurate assumptions of who I am. But I guess that's all someone can do in a forum is guess and assume if they don't know and don't ask.

    Let's do something more contructive with our time.

    I have a college degree, two minors, a RE license, a license to work with the elderly, a masters degree on it's way, I've lived in 10 different states traveled to 20 or more and raised three children. I didn't do it responding to judgements online. So AGAIN...take care. Peace, happiness, and good luck to all of you and I hope you will not see adversity the way others have in this economy.
  • qbrozenqbrozen Posts: 17,146
    Thank you for your well wishes. I appreciate it. I too hope I don't have to face financial adversity.

    If I do, however, I would only blame myself for my financial situation. I chose to have the mortgage payment and 2 car payments I currently have. I chose not to save as much as I should have. I'll be saying to myself that I should have gotten cheaper vehicles, a cheaper home, cheaper coffee, etc, etc. Nobody forced me into it and I don't expect help from, nor will I disparage, the financial institutions that loaned me the money I asked for.

    In this country we tend to live to excess, unfortunately, and expect handouts when we can no longer do so. Maybe if we had been more prudent, collectively, we wouldn't be facing this situation.

    '13 Stang GT; '86 Benz 300E; '98 Volvo S70; '12 Leaf; '14 Town&Country

  • jocutojocuto Posts: 7
    I DO agree with you on that. We live in exess when things are good and freak out when they are bad and we can't sustain. I learned that lesson in my early 20's. Aside from a car loan and student loans, I don't have any other debt. I should have purchased a cheaper car. My reasoning at the time was to have a reliable one in real estate and the salesman did his job well! lol, but I COULD have chose another profession. Which eventually I did. After being layedoff from that position I quickly and eagerly re-thought a long term choice in careers. I took a pay cut for long term stability, and will probably pick up a 3rd job to catch up with the car loan. My beef was simply pointing out the fact that in this country we seem to reward the irresponsible and penalize the people who are trying to improve themselves through hard work. I do not want to have my car re-possesed, file for bankruptcy, or take th easy way out. I just wanted a break on my interested rate because after paying on my car for 2 years and increasing my credit score I thought it was a reasonable thing to ask from an institution that just got bailed out and received 1.5 BIllion. My point was, they got their help, now they should help their customers. They obviously screwed up somewhere, and perhaps I did by signing those papers. The goverment is only adding to a circle of problems and although I don't believe in too much regulation, there should be some. My point was that Chrysler would still make money off my loan, and over a longer period. I could keep my car, and there would be no loss to anyone. I had a 94 year old grandmother that lived simply. (she went through the depression) She taught me many things about conserving, the basic neccesities. I don't soley blame myself for the financial situation that I am in. I made great money in RE because I worked so hard, earned customer loyalty and did my job well. It was not my fault the market tanked. It was not my fault that the company I worked for after that folded. However you pick up the peices and keep going. I have always been a fighter, a worker and a good person. I know that doesn't earn free credit, but the point I was making was directed at a pretty simple request, denied from an institution that just received help when they needed from our government. I guess I could go get knocked up, then get wel-fare, medicaid, and free food.....lol...
    Maybe I didn't correlate my thoughts well.

    It's a frustrating time, and I am not happy with Chrysler, but I don't expect everyone else to feel the same.

    Take care
  • qbrozenqbrozen Posts: 17,146
    That made alot more sense to me, jocuto, and I agree with you on many points.

    I do hope things look up for you soon. Sounds like you have made a good long-term career move and you'll make it through.

    '13 Stang GT; '86 Benz 300E; '98 Volvo S70; '12 Leaf; '14 Town&Country

  • verdugoverdugo Posts: 1,987
    I do hope things look up for you soon. Sounds like you have made a good long-term career move and you'll make it through.

    +1

    Do stick around, we're not a bad bunch of people. :)
  • euphoniumeuphonium Great Northwest, West of the Cascades.Posts: 3,321
    It's my nature to ask, "When your broker went out of business, why didn't you start you own RE agency? I'm now confident you would have passed the Brokers exam.

    The exciting world of commission only, beats the cocoon of a steady salary. ;)
  • dtownfbdtownfb Posts: 2,915
    I feel like we all went through therapy on this one...

    jocuto: Agree with your points. I think your last post expressed the frustration a lot of Americans are feeling now. Unfortunately, we (individuals) have to tighten our belts and work through this the old fashion way like you are. if it makes you feel better, even with the bailout, I don't think Chrysler will survive.

    these guys/gals are good people on these forums. Most are just looking to help. Some get opinionated but mean well.

    Hopefully you keep coming back, we need fresh faces.
  • fezofezo Posts: 9,327
    You have to be built a particular way for life on commission. I had an uncle who sold real estate. When things were good he lived great but when the market slumped he'd be in pickle. He eventually got a job with the state that made great use of his skills in appraising and negotiating and turned that into a steady income. Not necessarily easy.

    I don't think Chrysler Financial is doing things any differently than other lenders. They set a rate at loan origination and the only way they'll change it is renegotiating the loan. Unfortunately they won't do that for you because of the value of the car isn't more than the loan balance. There are a lot of folks in your boat.

    Best of luck.
  • dtownfbdtownfb Posts: 2,915
    I don't have a positive opinion of chrysler financial, but that is another story. You're right that many lenders will not re-finance car loans. I've only seen it happen on less than one year old cars.
  • fezofezo Posts: 9,327
    Oh, I'll leave where Chrysler Financial is in all of this for others. I've never dealt with them myself.

    I think the only lender attached to a car manufacturer I've dealt with is American Honda Finance. They've been OK. I've dealt with them three times.
  • verdugoverdugo Posts: 1,987
    I've dealt with VW Financial twice. Positive experience all around. Interest rates were subsidized and no hassle/complications from paying off the loan early.
  • lokkilokki Posts: 1,200
    iocuto -

    Laying aside the question of who is at fault for your current situation, let's talk about what actions you can take....

    What's the difference each month between your old payment and your new payment?

    It looks as if you borrowed about $25,000 ( $570 per month for 60 Months @ 13%)

    Using the same calculation ($25,000, 60 months, 9% interest) it looks like your previous payment was roughly $ 520 per month.

    What can you do to cut expenses $50 per month? Do you have a second job, or is one possible for you?

    Do you have a tax refund coming?

    You're going to need to make these higher payments, at least for a while. If you don't you'll probably end up losing your car and making your credit even worse in the process. Those will make it even harder to get a new car loan, particularly in the current climate. You're going to have to find a way.

    While you're doing that, you need to start writing letters to Chrysler Financial. There are two reasons for writing rather than calling.
    1. It's very unlikely that you are going to get to talk to anyone on the phone who has the authority to adjust your loan rate.
    2. You're very angry right now, and frankly, that's not going to help you negotiate.
    You're not going to be able to force Chrysler Financial into doing anything for you.

    You need to write so that you can tone some of your bitterness out of the equation.
    Your letter needs to state the facts - that you have been making payments, and that you're willing to continue, but are currently unemployed. The increase in payments is a hardship which makes it unlikely that you'll be able to continue making them. Ask if you can arrange to make either partial payments, or adjust the terms of the loan in some fashion at least on a temporary basis. Ask for an appointment with someone to discuss the matter in person.

    If you get that meeting be sure to have all your bills, and bank statements with you and be able to show that you're taking steps to meet the higher payment. Show them that you're sincere in wanting to pay off the car.

    This might work, as Chrysler Financial doesn't really want to repossess your car - they've got more than they know what to do with already. But remember, they don't HAVE to do anything, and if they take your car and sell it at auction, you're still going to owe the balance. Yup - you got an amount of MONEY, not a car from them. No matter what happens with the car now, they gave you a certain dollar amount and they will want to recoup that. So, be polite with them, and be reasonable.

    Good luck.
  • euphoniumeuphonium Great Northwest, West of the Cascades.Posts: 3,321
    The best advice post yet to this lady. Thank you. Euphonium
  • tidestertidester Posts: 10,110
    That was very constructive. Thank you! :)

    tidester, host
    SUVs and Smart Shopper
  • ronvprronvpr Posts: 24
    If you feel so positive about subaru, my neighbor has a three year old forester that needs a complete head gasket and steering rack replacement. He will sell it to you cheap. Of course his warranty ran out right before all of this happend. Subaru? Quality? JOKE!
  • qbrozenqbrozen Posts: 17,146
    So, you happen to live next to the 1 in hundreds of thousands with this problem. That's unfortunate. And your brother is a subaru mechanic, too, huh? And he says they are garbage? And, with a less than 1% failure rate, you managed to get 2 bad transmissions in your Honda? Remind me not to stand next to you in a lightning storm.

    And you feel giving loans to foreign makes making cars here in the States and employing thousands of US citizens is a bad thing?

    For someone so anti-"Japanese," I have to wonder why in the world you purchased an Odyssey.

    '13 Stang GT; '86 Benz 300E; '98 Volvo S70; '12 Leaf; '14 Town&Country

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