If you total your car have no insurence,still owe money on it do you still have to make payments?

Question

ok linch mob ! my internet service was acting up and my question didnt get finished.who said it was my car ? who said it was anyone ones car? im not even going to finish the question,to angry at the replies now

Answer 1

Yes you do.  That is why banks and loan companies require you to carry full coverage auto insurance if you finance a vehicle.  If you chose to not follow the rules then you will still have to pay for the vehicle that you can't even drive anymore out of pocket.

Answer 2

Yes and when you stop and think about it cheaper by the way it is spelled insurance

Answer 3

um.. uh.. YES!!!

Why else would people pay for insurance?

A lender does not get punished for your poor choices.. you dont just get out scott free.  This is why you are required to have full coverage on a loan!

Answer 4

You sure do. Why isn't there insurance on the car? That is one of the provisions of your finance agreement. If they find out you didn't have insurance they can "call" the loan because you no longer have the collateral that was securing the loan. That means they could require you to pay the outstanding balance if full in one lump sum.

Answer 5

Yes, you still owe the money, but now you have no car to drive. I'll bet you wish you did have insurance, huh?

Answer 6

Is this a serious question?

Of course you have to pay for it.  That is what insurance would have been for.

Answer 7

Yes, you most certainly still have to make the payments.  If you examine your loan contract, I bet you will find that you were supposed to keep full coverage insurance on the vehicle as long as you still owe money to the lender.

It is not the lender's fault that you dropped the insurance on the car.  It is not the lender's fault that you totaled your car.

The lender still deserves their money.  You will be brought to court if you do not pay, and you WILL lose.

Answer 8

yes you do. you can stop payment but when they attempt to repo the car and notice it can not be sold or driven you will still be stuck with the full amount owed

Answer 9

Of course you do!! Why wouldn't you?

When you bought the vehicle you signed papers saying you would make payments until its paid off.

There is no tiny fine print that says "Except if you are a moron and total your car and break the law by not having insurance."

You can either pay it off yourself, or roll the balance you owe into another loan on another vehicle.

Answer 10

You are responsible for the money you owe on the car. You can be in a lot of trouble here. You may have even committed a crime here. I don't know for sure. I hope for your sake it is not a big crime or felony. I would contact an attorney promptly. I am sure when you signed your contract with the finance company you signed an agreement to carry at least liability car insurance and most likely the lender required you to carry full coverage insurance on the vehicle at all times. I have a lot of prior experience in selling vehicles and I have never seen a lender that didn't require full coverage insurance at all times. These lenders made every customer sign the contract that stated the vehicle must have insurance at all times. In fact, every customer would have to have proof of insurance at the time of the contract. This is a very serious mater you are in right now. I would strongly suggest you get help from an attorney promptly. The lender may require you to pay the entire amount upfront once notified of the accident, I am just not sure. Your attorney should be able to answer all of your questions.

Answer 11

I'm sorry, but you do. The money was borrowed and it has to be paid back. If you borrowed the money just for a car loan then you were suppose to insure it. Now it's possible the loan company my have had comprehensive insurance on the car, but not likely. Worth checking out.

Answer 12

Yes.  You also need to contact your lienholder and let them know that you totaled "their" car.  It is possible that your insurance company notified your lienholder that your insurance had lapsed.  If this was the case, it is also possible  they took out insurance for you at a very high rate.

If you were not at fault for the accident, you could try filing a claim against the other carry.  Hopefully, you do not live in a state with the No Pay, No Play statute(this is usually limited to non-economic damages).