Hi, Anyone ever drop off a lease Veichle, and couldn't afford to finish payin? what happened after? Bad credit

Question

I am now laid off have been for 7 months and my payments are 730.00 and withthe price of gas now I just use my car... no need for the truck anymore. But the ford dealer ship is telling me I will have bead cradit.. I still have to pay for the truck even if they take it... is this true? anyone know.....

Answer 1

You are still responsible for the money you owe, even if you voluntarily turn the vehicle back in.

The dealer, (or the finance company) will try to resell the vehicle.  It will not get a very good price, because it will have to be sold as a used truck.  The price they get for the sale will be applied to what you owe, minus any expenses they incur, getting the truck ready for sale.

If there is STILL any balance left on what you owe, you are STILL responisible for making those payments.  So, you will be stuck with the payments, no truck, and, a credit score ding.  And, if you can't pay off the loan, you will get an even worse ding for defaulting on the loan.

Answer 2

you will have to pay off the remainder of the lease and your credit will be fine.  If you just drop off the car and don't pay, they will send it to auction and you'll pay the difference between what you owe (payments + residual) and what it sells for at auction.  The latter is called a voluntary repo and will destroy your credit for many years.

You do have another option, it works for some.  Try to get someone to assume your lease, try:  http://www.swapalease.com that way you won't have to pay it off.