This story is pretty common to you guys, I'm sure. My friend (25F) was trying to get away from her abusive ex husband back in November. She did not have any existing credit, and she promised to pay things on time. I had fair credit at the time. Fast forward to this point in time, and she has not made ONE payment on her car.
I'm a full time grad student living at home, and all the money I have right now is through loans. I am interning full time right now, but it's in the process of turning into a paid position (I'll give a stingy estimate of $1.5k/month). I'm currently one month behind on payments, which are $355 per month. I owe $10.8k left, and KBB says the car is worth $2.5k for a 2012 Hyundai Elantra.
My friend has 3 kids (and 1 more on the way. Her ex husband is the father, ugh). Her rent is $875 a month, which is about half her income. She never pays on time either, however, she has paid before evictions would be filed. I do want to move out in the next year or so. I am worried that this will fuck up my chances of even getting an apartment.
Obviously, I want out but I know I can't. My credit has gone to shit (530s) when it used to be more than 100 points higher than that. A lot of this is because of all the late payments. Her lease ends this October, and I'm surely not going to cosign anything for her anymore. But I'm trying to find out the best options to deal with the car.
I know voluntarily surrendering is not the best idea. I thought of taking some school loans to get it paid off in full, and then selling it. I've also looked into filing bankruptcy (but even then, I'm scared of that). What would my other options be?
Submitted July 21, 2017 at 11:58AM by datmoscatotho http://ift.tt/2gQfI2q
