[jlenko]

Originally Posted by 604CEFIRO

Don't listen to these guys. I work in auto credit, lending.

If your car goes into repo status it's because your account has gone past 60-90 days delinquent.

If you get your car repo'd and you don't intend on getting the car back and just defaulting you will get and i9 on your bureau, meaning you've written off the credit line

i9 and r9's will plummet your beacon score, and when you go seek credit next time, creditors will weigh that heavily when assessing your credit.

ESPECIALLY BAD because an auto loan is pretty much a necessity in life.

If you can't keep up with a car payment, creditors will not lend you money for loans, credit cards, etc because if you can't pay for a necessity in life, how are you going to manage paying something that's less important?

Next time u go for an auto loan you will either be turned down, or require a strong a1 cosignor, or a heavy down payment usually 20% or more.

If you end up getting the unit repo'd, but end up settling your payments and getting your car back (which will cost you more than just paying your arrears) your credit score will still drop, and your auto loan credit line will show as derog, it'll show when the payments were missed and how often and how far delinquent it was (i2,i3,i4,i5, i9 = 30,60,90,120 days delinquent or written off). Again, creditors will weigh heavily on that when looking at your credit.

This adverse credit will affect you for a minimum of 2 - 5 years if you plan on applying for something else in the future. Again, creditors will ask for security or cosignor.


Don't be late paying your auto loans. Ever. It's a necessity of life, and weighs heavy against you when any derog appears
Posted via RS Mobile

Or.. you could just live within your means and buy a used car, with cash. Not everyone has to get a car loan...