What will happen if I stop making loan payments on a totaled car?
June 26, 2010 7:11 AM Subscribe
What will happen if I stop making loan payments on my totaled car?
posted by anonymous to work & money (12 answers total) 2 users marked this as a favorite
My car was totaled and the insurance payment did not cover the loan amount. I have been paying each month but am still nowhere close to paying off the full amount and am struggling each month to make the payments and pay all my other bills. I know this is a morally dubious area, and am not looking for judgments. I just want to know what the potential consequences would be if I stopped making payments. I know my credit will be ruined, but are there other negative consequences I need to be aware of? There is no car remaining to be repossessed. Could I be sued? Could the bank garnish my wages?