car trade/loan options

[bobtsgt]

got a trade in question for everyone. according to KBB my X is worth about 14.5K. I owe roughly 20K on the loan I got. Its a backwards loan that I did. If I was to buy a 8K car would the loan be paid and a new loan started or would I get the 14K for the truck and have 6K added ontop of the new payment. Or would I have to get a personal loan for the remaining 6K and use that toward the trade in to get the backwards loan taken care of. Just trying to figure out how to get a lower payment so we can do more things. I'm not very money smart when it comes to this so that is why I ask. Thanks.

Bob

[BUHBYY]

if you bought a 8 thousand dollar car you would be hard pressed to bury that 6 grand in negative equity ?? if they gave you 14-15 for the X you would just add the remainder to the new car !! personal loans are not worth the intrest you pay to get them ... if it was me personally I would pay extra on the loan to eat up prinipal and hold out for six months to a year , I had the same thing with my Durango a little over a year ago and now that I have done that I am looking at breaking even ??

[Black Hole]

if you bought a 8 thousand dollar car you would be hard pressed to bury that 6 grand in negative equity ?? if they gave you 14-15 for the X you would just add the remainder to the new car !! personal loans are not worth the intrest you pay to get them ... if it was me personally I would pay extra on the loan to eat up prinipal and hold out for six months to a year , I had the same thing with my Durango a little over a year ago and now that I have done that I am looking at breaking even ??
+1

What he said.

[ihave1sweetride]

NOT A GOOD IDEA!!

[BUHBYY]

I was only basing the idea off of getting a new car ?? if it is to save cash or just get rid of it then I have different Ideas ?? I was a Sales / Finance Mgr in the business for 5 plus years !!!

[bobtsgt]

Ive been paying extra on the loan for the past year but over a 1/4 of it gets eatin up in interest. Like my bill was for $350ish so I pay $450 every month. When the next statement comes in it says about $133 of it goes toward the interest. I was thinking along the lines of getting something different plus lowering my payments and do a little better on insurance. Unless I can find 5g's on the side of the road :D

[ihave1sweetride]

Ive been paying extra on the loan for the past year but over a 1/4 of it gets eatin up in interest. Like my bill was for $350ish so I pay $450 every month. When the next statement comes in it says about $133 of it goes toward the interest. I was thinking along the lines of getting something different plus lowering my payments and do a little better on insurance. Unless I can find 5g's on the side of the road :D


It's only going to make things worse at this point because you are so far upside down on your car. You've only had it for a year.... you don't need a new one, plus you don't even drive it!

[bobtsgt]

I'm trying to learn what I can. Like I told you I was thinking not taking action. Sorry for trying to collect as much knowledge as I can.