Is it wise to get an auto loan now?

[Anonymous]

Some of you FICO addicts already know who I am and I just one more advice...

I was in a car accident on Friday (some jerk hit me from behind) and I was too stupid to know that I should've filed a police report during the scene of the accident. Now he's saying that he didn't do that much damage to my car and tried to point the blame at me by saying that WE should've filed a police report and they would've said that it's not big of deal. Well it wouldn't have been if I had just opened up my trunk when we pulled to the side to see the big fat bump in my trunk! So he came over Sunday and tried to offer me $100 to fix the bump. No no no... That bump costs way more than that to fix. Possibly thousands. So I went to the police myself and I think that it would show that I was not the one at fault since I went to the police first. They turned around and said that now it's going to be my word against his. Understandable, but what they don't know is that his license plate number is permanently indented to the left side of my bumper; the side he said he didn't hit. I called the guy up to get his insurance information and he said he doesn't feel comfortable giving out his insurance information to me over the phone. He said he'd rather have his insurance call me today. So I'm still waiting.

My point is, if this damage is more than what my car costs, I have a crappy car by the way. It's a 97 Honda. Runs great, but it's dying I can feel it... If the damage is more than what the car cost, what are they going to do? Give me the money to go out and buy a new car, or actually spend the money to fix that damage? I really don't want to get an auto-loan, but if push comes to shove, I don't think I'll have a choice. I'm not getting another used car for the fact that THEY NEVER LAST!

I'm taking this as a sign that something is wrong with my plans for the next few years. School full-time and working full-time is just not a good idea anymore. Not to mention the 15k debt I have. I don't really want to add another 15k to my debt with an auto loan. What am I supposed to do?

[gidget]

"I'm taking this as a sign that something is wrong with my plans for the next few years. School full-time and working full-time is just not a good idea anymore. Not to mention the 15k debt I have. I don't really want to add another 15k to my debt with an auto loan. What am I supposed to do?" Maybe drive your car as is until you finish school or until it falls apart on you. The dent is a bummer added to all the other issues, but why add more debt now if you don't really need, too? Just my two cents. My guess is: that you will need to get an estimate on the damage, submit it to the insurance company, and his insurance will mail you a check. Hang in there and good luck!

Message Edited by gidget on 08-06-2007 05:54 AM

[Anonymous]

IF you can get his insurance to pay (you have no police report so thats a big if) and the damage is more than the car is worth then they'll cut you a check for the amount that the car is worth.

I learned the same valuable lesson you did a while back. Some kid on his way to school (high school) hit me on my back door, he ran a red arrow light when I was crossing the intersection. He didn't have his driver license with him so he begged me to go with him to his house so he can get it. I felt bad for him and agreed. His mom asked me if we could settle the damage when her husband got home from work and I agreed to that too. Well his dad insisted it was my fault, and the stupid kid said it was me that ran the red light. By then it was way to late for a police report. I still have the dent on my car

Good luck, I hope you can at least get your car repaired.

[Anonymous]

If the insurance company judges the cost of the repair to be more than the value they'll cut you a check and total your car.  I'm assuming that the car is paid for?  If it is you're in better shape than most.  If worse comes to worse I wouldn't rule out a used car.  You can get a five year old Honda or Toyota for ~7,000-8,000.  A car like that would easily last you another 5 years.  If you're juggling a job, school, and debt I'd forget about the insurance, put up with the dent and run the car into the ground.