by Guest » Tue Nov 13, 2007 06:51 pm
I was in an at fault accident and my insurance company has declared my vehicle a total loss. The car is still drivable and I have paid a lot to the loan company- I still owe about 5,000$. If what I owe is more that what they give me can i keep the car or will they autopmatically take the car? Can I get the insurance to fix it for less than the acv if I can find a repair shop that will do it? I am very confuse on what to do. Im not sure what would be more benificial to me
Posted: Wed Nov 14, 2007 11:40 am Post Subject:
Good morning confused owner and welcome to the community,
First, Clearly you are WAAAAAAAY upside down in your vehicle right? Do you have GAP insurance? Contact your lein holder and ask they will know. Gap covers well, the gap between the actual cash value (ACV) of your vehicle and the loan payoff. Assuming of course that nothing else has been rolled into this loan, but this car only.......
The car is still drivable
can i keep the car or will they autopmatically take the car?
In these situations generally what I have seen, is if the loan is in good standing the lein holder will consent to allowing the owner to retain salvage, if not, then no they usually let the ins carrier take it, thus providing the lender with the greater amount of money.Let me ask you something....How long have you had this vehicle, and paid on it and how much have you paid thus far? Is this an actual lender or a 'we tote the note car lot" Some times, (don't get your hopes up cause 5k is a lot) I have been able to negotiate for the insured a payoff of these debts (not for you I mean as the adjuster on a particular claim)... Let me know first if this is the case, and if so how much have you paid, how much will the insurance company pay, and then I can maybe give you some tips to attempt to nego. this....
Can I get the insurance to fix it for less than the acv if I can find a repair shop that will do it?
Maybe ask your adjuster, but it will have to be less than the acv minus the salvage bid/return..I am very confuse on what to do. Im not sure what would be more benificial to me
I know you are and I'm sorry. Respond with the answers I've ask for. Also are you paying like 25% interest or something? Please go into detail about how you are in this situation (oweing 5K) please be honest about it........I and some others may be able to help you figure a way out of this...WARNING though high likelihood we won't...and you will be left oweing 5k and no car...but lets try... :wink:Posted: Wed Nov 14, 2007 03:51 pm Post Subject:
I BOUGHT THE CAR AT A BUY HERE PAY HER PLACE THE LOAN IS NOT THROUGH A BANK, I HAVE PAID ABOUT 7,000 ON THE CAR. MY PAYMENTS HAVE ALWAYS BEEN ON TIME AND I HAVE ACTUALLY PAID AHEAD ON MY PAYMENTS. IM NOT SURE WHAT THE INS COMP IS GOING TO OFFER ME AS FAR AS A SETTLEMENT- IT IS A 2001 FORD EXPLORER SPORT TRAC, BUT I DO KNOW THAT I WANT TO KEEP THE CAR. FO I NEED TO TALK TO THE DEALER DIRECTLY CONCERNING THIS OR JUST DEAL WITH THE INSURANCE COMP? I HAVENT EVEN LET THE LIENHOLDER KNOW ABOUT THE ACCIDENT YET, SHOULD I? PLEASE HELP ME KNOW WHAT TO DO! BY THE WAY I HAVE HAS THE CAR FOR 1 YEAR.
Posted: Wed Nov 14, 2007 11:52 pm Post Subject:
Confused, honey you're confusing me...you've only had it a year and paid 7000.00 on it in a year? Did you have a big down payment maybe?
IM NOT SURE WHAT THE INS COMP IS GOING TO OFFER ME AS FAR AS A SETTLEMENT
Has the insurance company told you the ACV (value) of your vehicle is yet? I thought they had since you said you would still owe 5k? What makes you say that?
I BOUGHT THE CAR AT A BUY HERE PAY HER PLACE
(Lori groans loudly!) I was afraid of that...Tell the insurance carrier that you think you want to RETAIN THE VEHICLE (SALVAGE). They should tell you the amount you will get if they OBTAIN THE SALVAGE, and the amount (which will be less) if you RETAIN THE SALVAGE.
Call you lein holder and ask them what is the PAY OFF of the note..not how much you owe...THE PAY OFF.
When did this wreck happen? Why have you not heard yet about the value of your vehicle? You are SURE they are going to total it?
Posted: Thu Nov 15, 2007 05:57 pm Post Subject:
Yes I have only had the car a year and put 3500 down and am makling payments of 415. Why is it a bad thing if I got it at a buy here pay her place? You think they will have a problem with me keeping the car? I have never been late with any of my monthly payments- I am actually paid ahead! The insurance company has not made an offer yet, I did take the car to the shop where they get their estimates done and the man who did the assesment of the vehicle is the one who told me tht it would be total loss and my case was transferred to the total loss adjustor, but he has not contacted me with the acv offer yet and it has been about 2 weeks. The 5.000% is what I have left to pay on the vehicle- you think if I asked the pay off amount it would be different? If I keep the vehicle- which is still drivable, do you think I am going to have a problem with re titling it because I have heard that you have to have the state inspect the vehicle to assure that it is safe. Well i reaaly do appreciate your assistance and advice in this matter.
Posted: Thu Nov 15, 2007 10:02 pm Post Subject:
[left:46a3e77694]Lori,
I am interested to know why a "buy here pay here place" is bad? Don't they simply let you take the car home and accept payments for it without having to finance from a bank? Just curious, thought I'd ask since you have very knowledgeable answers. :) [/left:46a3e77694]
Posted: Fri Nov 16, 2007 12:01 am Post Subject:
Most, (all that I know of) buy here pay here, we tote the note car lots, cater to people down on their luck with bad credit. And (presumably) because of this their interest rates are over the moon, and the prices of the vehicle are the same. But they will finance ANYONE.
I've had many dealings with these lots over the years in the settlement of auto claims. I even had one owner explain the concept or premise of their business practice. He said they over price the car by nearly half, charge horrific interest, because that way they get what they have in the car within the first fourth of installment contract. Because a good 50-60% of their clients quit paying! Of course the poor guy that is trying to do the right thing is just screwed. I have on five different occasions got the lein holder (which is the car lot) to completely release these leins on what we paid for the ACV, and they were thrilled to get it. Because he had already doubled his money! This was with two different lots...Of course had I not tried to negotiate this (and really had no business doing so just felt sorry for the people), they would've had no car and still making these stupid payments. Of course everyone of the lots offered the owners to immediately put them in another vehicle...I'll bet they will!
Now maybe there are some that don't do this (charge crazy interest and prices for the vehicles) but not within 100 miles of where I am! Of course most of these folks got themselves into the position they're in, but I can't help feel badly for anyone that is being taken advantage of.
Confused owner, I've got to go now, will be back on the computer tomorrow am, and follow up.. If you can look at your agreement and see the percentage of the interest you are being charged. And yes your payoff should be way less than if you add all the payments together
Posted: Fri Nov 16, 2007 03:55 pm Post Subject:
Lori, Thanks for the response. I almost feel silly asking because your answer made so much sense, but now I know right? Thanks again. Have a nice weekend.
Posted: Fri Nov 16, 2007 09:18 pm Post Subject:
NEVER feel silly for asking a question! Unless of course it is ,
'Lori is that your natural hair color?'
:wink: Because THAT is a silly question! :lol:Posted: Fri Nov 16, 2007 10:05 pm Post Subject:
NOT !!
Posted: Mon Nov 19, 2007 04:52 pm Post Subject: keeping the car
So anyway do yuo think I will be able to keep the car- My insurance adjustor told me that it would be up to the lien holder to decide if I cold keep the car but he said that more than likely thewy would not allow me to keep the car with a salvaged title even though I have paid all my payemtns on time- How long do I have to accept the insurance offer? do I have to accept it right away or can I keep paying my payments for a few mths to pay down what I owe, then let the insurance pay it off? Im sorry for asking so many stupid questions it;s just that i am very confused with all of this
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