Bankruptcy Auto Loans
Is it better to pay off the auto loan with a few months to go or make payments after filing bankruptcy?
There is only 5 more months left on the payment.
Do not pay off the car keep making the payments on time every month. You need to keep what credit you have, by continuing to pay this on time and over time (the bank makes more the longer you pay Interest is compounded daily) Since you have payed this bank on time and payed them over time they will more than likely overlook the fact you made some mistakes and will be glad to loan you money again. The interest may be a little higher but not as much as if you pay it off before going bankrupt. The bank cannot reposesse the car if the payments are being made on time and you are not behind. Your home mortgage company cannot take your car they can only take the home. the auto loan company cannnot take your house only the auto.