06-27-2013 09:01 PM
Ok so heres the situation:
I think i will be looking at a reposession soon of my leased vehicle. The reason being is because i cant afford the current auto insurance coverage it requires. I have not been late on a payment nor have I had it very long or plan on being late for a payment but i just will not try to afford the insurance. I currently have Geico when this original deal went down the sales guy added the car to my insurance for me since when i tried it online it didnt notice the VIN ... 3 months later Honda sends me a letter stating that my coverage is too low and requesting i up it to the qualified coverage. Obviously i didnt read the contract thoroughly stupid on my part all i saw was a new car (i'm 22) but besides that its still bad my monthly payments are $656 and my insurance right now with my state min is $300 when i put it to the approp amount it goes to $1000 per month no way im going to afford that ..How will this repo affect my credit? does anyone have suggestions? also keep in mind this was not mentioned to me either as if i knew i was suppose to have this coverage i would have definitely not signed then...
06-28-2013 10:26 AM
Have you shopped around for insurance? At your age I had an Infiniti at $85 a month and then a Nissan Titan at $95 a month through Esurance at 100/300 limits.
06-28-2013 10:59 AM - edited 06-28-2013 11:03 AM
I can't imagine what in the world would cost you $300 a month in insurance. I was looking at Dodge Chargers with a V8 and the insurance quotes I was getting were $215 a month, and that is with not even having a license for 3 years (being lumped into the inexperienced driver category).
What kind of vehicle is it?
Call other insurance companies, every single one of them, and check with them. I found great prices with Progressive. Esurance also had lower monthly payments.
Edit: Unless you're an enormous risk for the insurance company. Such as DUI's, lots of tickets, etc.
06-28-2013 11:05 AM
What insurance terms is the company requiring you have? Most require a $500 deductible and full coverage.
Even at 22 that is a lot for insurance. Is it a sports car? Those do tend to be more.
Before doing a voluntary repo, which will kill your score, shop around. Can you get USAA?
06-28-2013 11:47 AM
First shop around. Secondly, oftentimes you can get the minimum requirement and then reduce it the next month. Finally play with the numbers, let's say they require a $500 deductible, so reduce bodily injury etc. Most of the carriers like esurance USAA etc. have a what if scenario generator. We were with essurance for a while which was cheaper than USAA. When we added my 16 year old, USAA became much less epensive so we switched to them. Each insurer has their risk profile and pricing scenarios play around with them.
06-28-2013 12:09 PM
06-28-2013 12:17 PM
06-28-2013 01:39 PM - edited 06-28-2013 01:40 PM
Your doing something wrong. I live in NJ as well and IM only 21 , had my license since I was 17 like evrryone else. Ive also never had my own insurance because Im under my parents car so im in the unexperienced category as well.
The reason I say all that is because recently Ive been getting quotes for a 2013 camaro and they all come anywhere betrween 200-300 a month. Unless you have alot of points , or alot of accidents , then your doing something wrong.
If you do have points , I took an online defensive driving course for 20 bucks and it removed 2 points , literally took an hour.
Otherwise , not sure what the heck is going on with your quotes. Also just so you know always make up stuff on those. Say your car is in a garage , put low miles for travel and say you have good security system on it , those all make a difference.
06-28-2013 01:47 PM - edited 06-28-2013 01:48 PM
Are you sure you're insured through GEICO?
It sounds like the salesman may have duped you and insured you through their "preferred" insurance companies which have their own mandatory coverage requirements... they are always WAY more expensive than GEICO, StateFarm, All-State, etc.
Shop around, there's no reason to pay that much for insurance. I had a BMW 2-seat convertible when I was 23/24 and paid under $200 per month; full-coverage and it was my daily driver in California.
Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.† Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.