Latest Posts
Home > Ask The Get Out of Debt Experts > I Have a Repossession on My Credit Report. How Should I Deal With It? – John

I Have a Repossession on My Credit Report. How Should I Deal With It? – John

“Dear Steve,

Car was turned over for voluntary repossession in 2010 due to engine failure and inabilty to continue making payments on a car that would not run.

Not scheduled to come off credit report until 2017. Balance is approximately $8300 on the loan. Original loan amount was around $15,500 from 2006.

Should I attempt to settle this amount? Should I wait it out? What are the other options? What should I do if/when I settle it as far as credit reporting goes?


car broken

Dear John,

The two issues are the old negative item and making sure you are still using credit to build a good credit score. The longer the time from when the repo happened, the less it will impact you.

If you settle the amount due the balance you didn’t pay will still appear as a bad debt for seven years from when it was first listed.

You’d have to know what your statute of limitations in your state is to determine how long they could sue you for the old debt.

If you are not currently working on rebuilding your credit, follow this guide.

Bonus Video Answer

Please post your responses and follow-up messages to me on this in the comments section below.

Get Out of Debt Free Hotline
debt settlement helpstudent loan help

About Steve Rhode

Steve Rhode
Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.

Get My FREE Get Out of Debt Guy Newsletter

It is the smart thing to do.

I promise to keep your email safe and secure.


I want to keep you posted each weekday with just one email about the latest get out of debt news, scam alerts and information to beat back debt.

You can unsubscribe at any time with just one click.

After you subscribe, check your email to confirm your subscription. If the confirmation email does not appear in your inbox in a few minutes, check your spam folder for it. Sometimes it likes to annoyingly hide there.

  • It will keep you posted on the latest scams.
  • You will be alerted to the latest articles.
  • You will wind up smarter than everyone else dealing with debt.