Stupid %#$^ Van Payment

[amberbamber]

Ok- so the ONE terribly horribly wrong decision that I *we* make, was the decision to lease a mini van. So, now I'm trying to figure out how best to purchase the darn thing and mark it up to a lesson learned. So anyway, we are currently leasing the Honda minivan with a payment of 435.00 a month. OUCH! So, anyway...I call to get the payoff today to figure out about financing....payoff is...*drum roll please* $26,657.10. Talk about OUCH! So, I am trying out how to finance that much money on a stupid car. Dumb, dumb, I know. Believe me we will NEVER ever do this ever again. We are going to drive this car until it dies and then buy something USED!

So, anyway...any suggestions? We don't own a home to get an equity loan and car loans right now are at the 7.20% I have this amount available on my CC's to possibly put on there, but the interest rate is at 10%. I'm sure I could ask to lower it..as we've always been on time, and have a great record with them. So, help me out!

[safari]

Why can't you continue making your lease payments instead of buying the car? If you finance it, the payments are going to be much higher than your current lease payment.

[DavidSB1950]

Sounds like a "trailer trap" scenario to me....If I understand you correctly, your upside down.... the van isnt worth the purchase price....I'd pay out the lease by the month and forget trying to buy it....then chalk it up to experience.....

[amberbamber]

Well we are already over the mileage by at least 20000. If we have to pay 10 cents per mile we are over...plus a turn in fee, etc. Then it will just be outrageous.

[InDebtInDC]

I'm in the same boat you are. You have several options:

1) Go back to the dealer and refinance it as a purchase.

2) Go somewhere else and refinance it as a lease buyout.

3) Sell the car and pay the difference to release the title.

4) Break the lease, return the car, and pay the penalty.

5) Pay out the lease until it ends.

I think if you want to get rid of the car, #3 and #5 are your best choices, depending upon the condition of the car. Since you have that much overmileage, it may just be better to sell it and pay the difference.