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I Purchased a Car With My Ex-Husband That I Can’t Afford Anymore. – Yvonne

Yvonne

“Dear Steve,

I had purchased a vehicle 3 years ago with my now ex-husband at the time he was going to help me with payments which were 265.00 per month and to this day are still the same and I still owe 8400 on a vehicle that is only worth 4000.

I can’t make the monthly payments anymore. I was out of work for 6 months and just started working again making $8.00 an hour the most I get in hours every week is 25 if I am lucky. With the job market the way it is I have applied everywhere trying to get a higher paying job.

I only receive 240 in child support every month. I am actually negative in my bank account for a bounced check for my son’s school I am trying to repay that and they charge fee after fee and it’s not helping me. I pay 500 a month for my son’s school which I had searched for cheaper ones and didn’t have much luck and that’s with Florida VPK program. I also owe on my credit card that I can’t pay even pay the minimum amount on at the moment.

Are there any solutions to these issues. I have cut back as much as I can. I want to try to trade in my vehicle but, I am afraid it may result in a higher payment every month that I can’t afford I have no problems down grading but the negative equity may be an issue. Thank you

Yvonne”

Dear Yvonne,

I had to do some research about the Florida VPK program was. Apparently it is the Voluntary Pre-Kindergarten program. I read through the site about Florida VPK and noticed that it said that the program was free for all four-year-olds.

The VPK program is FREE for eligible children, regardless of family income. Providers are not permitted to charge a registration fee or require parents to agree to any additional services. State law does not, however, prohibit a provider from charging registration fees for programs or care that are not part of the VPK program.

I think the likely chance of you trading in the old car for a newer one is slim. If you could find a Florida car dealer to take your current car back as a trade for a lower priced car, the difference between what your trade-in is worth and the amount you owe on it would be lumped into your new car loan. The payment on the new car would be even higher.

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What you’ll probably have to do is find a less expensive car and purchase it, and then turn in your old car to the bank in a voluntary repossession. When the old car lender starts chasing you for the balance due, which they will, you could then look at bankruptcy as a permanent and legal solution to your issues.

Alternatively, since the vehicle is in your ex-husbands name also, maybe you could persuade him to help to pay for the car so you can keep it rather than turning it in. If it was a joint loan then they will go after him for payment as well and he might just prefer to avoid that.

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About the author

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.

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