Tried to settle on car, now i feel dumb

[janedoe2]

I have this car that was discharged ch7 back in 2005. I make all my payments ontime. I never re-affirmed.

I figured the lender would be happy for a settlement. Boy was I wrong! KBB values it at 3700.00. I offered half. The rep said," that's not going to happen,where can we pick it up?" I reminded him that they can never go after me for money and they would have to eat the cost of a repo and sell it at auction for a fraction of value. He put me on hold then said they would settle for 4900.00. He said there is a principal amount of 5500.00 !!!

Again I reminded him that this has been discharged through chapter7. He offered to send me a copy of my payment history and original loan docs.

They worst part is I was just denied a car loan. I have a 13 still on record until the end of the year. Every dealership (even cap1 and hsbc) says they could finance if i had only 1 bk showing, not 2.

Now I have secured a co-signer so I should get financed.

What did I do wrong with the lender? What should I do from here?

[elyse449]

I guess I'm wondering why you need another car loan if you still have this car?

Also, if your finances are indicating you've had to file BOTH a CH 7 and a CH 13, than why go looking for MORE debt?

Sounds like a few steps have been omitted. What did you do wrong? Well--it sounds like you've been paying on time, right? So why should they accept less? I don't know, I guess I'm confused.

Elyse

[janedoe2]

We did the 13 (2001) due to my medical bills. We dismissed it and sold our house to pay off the creditors within a year. It turned out to have a real high pre-payment penalty so we were left with way less than we needed to zero everyone out but we managed to do it anyway. The 13 was a real big mistake. Selling was a big mistake. We wound up selling right as the market was rising. If we would have held out for another year we would have had more than 100k in our pockets. We thought we were doing the right thing...it's our debt so we have to re-pay it no matter what. Our total debt was under 20k.

Flash forward to summer of 04. Everythings great, we are cash-n-carry and happy-go-lucky. Then my youngest spent the summer in the hospital. Our insurance covered at 80/20. With medical bills mounting we filed the 7 a year later. Aside from the medical bills we had the car loan and crap1 ($300.00)

The reason I need another car is not for looks or desire. It is simply too small. It is a little commuter car and my children have grown. We bought the cheapest car that fit at the time.

We have a 4 month cushion in the bank which we will never touch, history has proven it is needed. We also earn a good living. We only now are getting credit so we can buy a house again next year.

[elyse449]

Medical bills, now you're speaking my language...lol. I actually have several I am battling now b/w myself and my dh's CR's.

Where are your current FICOS at this point?

What are the current negatives reporting on your credit? Paid/unpaid?

Have you gone through the dispute process?

How many inquiries appear on your credit file?

Hmm...ya know, you may be stuck for a bit with those two BK's reporting. Have you checked with your state on how long to expect those BK's to sit on your credit files?

Have you tried "roadloans.com" yet? Apparently there are a few lenders that are for those of us whom are credit challenged. My personal recommendation is to go over your CR's with a fine tooth comb and make sure the info is accurate. Try to diminish as much as the bad as you can while trying to add some "good" TL's. You'll probably need to dispute the inquiries as well. THAN go back and research who the best lender would be for you to even bother with.

Elyse