If I decide to get rid of a car I am still paying on...how does that process work? Dealerships don't buy cars back or buy them off of your hands do they? Do I have to sell to someone in private? Also if I have a loan through a company and say someone off of Craigslist wants to take over the payments/loan...it's possible to switch the loan into their name, right?!
You could switch the car loan into someone else's name but I don't know how that works. You cannot sell your car if you're still paying on it. You don't have the title, therefore, you do not own it. Pretty sure you wouldn't see any money.
Sure a dealership can buy it back but they will buy it back for less than what you owe and you will have to pay what's left on it. You can also find someone who will have to qualify first to take over the payments.
You can't just sell the car if you have a loan on it because technically it isn't yours and you will get in trouble if you do. You should call the loan company and ask them. How much do you owe on it? If its less than what it's worth you can see if a dealership will take it? Or trade it in?
<blockquote><b>Quoting Super Mommy!:</b>" Sure a dealership can buy it back but they will buy it back for less than what you owe and you will have ... [snip!] ... and you will have to pay what's left on it. You can also find someone who will have to qualify first to take over the payments."</blockquote>
This. Selling a car you still owe on is a huge pita and your likely to end up upside down
Are you trying to get a new or used car? My husband is in the process of selling our truck and has had numerous people trying to trade their vehicles (that still have loans on them) to him for the truck. You wouldn't get any money in a trade, but it would get you out from under it with a vehicle. Between my brother and my husband, I've seen quite a few very nice vehicles that they've gotten simply from trading on CL.
ETA they would have to qualify to take over the loan.
My aunt and uncle sold their car for what they owed on the loan because they couldn't afford the payments anymore. They took the money they got out of the car and paid off the rest of the loan. In the end they didn't make anything on it but it was paid for and they kept their credit score up. I really don't know anything you can do besides that. As others have mentioned you'd have to find someone who qualifies to take over the loan. I mean, I suppose you could let someone take over the payments while leaving the loan in your name but I wouldn't do it considering whoever buys it may f**k up your credit and get you in a lot of trouble.
I recently got a new car and I still owed about $600 on the car I currently had. I traded mine in at a dealership, I told them what I still owed, they took my old car, gave me the new car, the bank I was financing with cut me a check for the new car, I brought the check to the dealership and they paid the loan off for me. It sounds complicated, but it's really not lol.