Any finance wizards in here? I need help on an ATV loan...

Brandon1 · 11-02-08, 07:48

Ok, so I bought a brand new atv a year ago. $6100 with 17.9% interest. I've been making the mistake of paying the minimums for a year. I still owe $5020 on the atv.

I sold it yesterday due to not riding it and having to pay for school. I got the most I could at $4000 for it. My question is, how should I start paying the loan off? Should I just write a $4000 check and send it it, or should I start writing $500 checks or should I call the credit company and see if they will settle for $4000 instead of $5020?

wagonproject · 11-02-08, 07:58

Wouldn't you have a title on it? Wouldn't that have to paid off before you could sell it?

Brandon1 · 11-02-08, 08:01

Naw, off road vehicles dont have titles, they just have certificates of origin.

themightytimmah · 11-02-08, 08:14

Pay off the most possible asap. 17.9% is way higher than you are gonna earn keeping that money, and they probably won't negotiate given the circumstances.

rm1mty · 11-02-08, 08:15

You should pay it off in full ASAP. You can try negotiating with the lender, but I doubt that will fly.If you think you can earn more than 17.9% after-tax on your money, then continue to make monthly payments, but most likely paying it off will be the best option.