Got ripped off on our car

[DrFaroohk]

So we had to give up our car. 12K we paid for it, and 2 years in we just couldn't afford the payments anymore, and the car was so annoying we were just like "Whatever, come get it." We still owe around 5-6 K on the thing. We were informed that the company would take it, fix it and resell it, and if it came up short we owed them, if it came up over, we got a check. Awesome!

We got this car through one of those Insta-Credit places where you're approved no matter what. Which is why the car cost so much (it booked for about 3,000 at the time...lol...yeah bad decision on our part).

I was expecting after they fixed it up (it wasn't in that bad of shape) they'd turn around and sell it again for an another reasonably inflated price. But no.

They sold the fucking thing for 900 dollars! NINE HUNDRED DOLLARS! Now the car is not in the same shape we bought it in. I know this. I realize it's not worth 12,000 dollars anymore. Or even 6,000 dollars. Not even 3. But it wasn't worth 12 when we bought it either. They easily could have put it up on the lot to at least recoup the money they lost. But noooooooooooooo they just found the first homeless bum they could find to buy it for as cheap as possible. That just doesn't even seem fair or legal.

[powerboy]

Man, i know that feeling all to well. Had that happen to me. I only had $4,000.00 left on it and they sold it for about $1,000.00. Truly pissed me off, becuase i could nit afford that. I was unemployed and was not getting unemployment then, as they stopped it

[Boozy]

I don't know - if the book value on the car was $3000 two years ago, I think selling it for $900 today sounds about right. Used cars depreciate very fast. Especially if you were having problems with it.

[Rapscallion]

UK generally reckons about 15% depreciation per year, barring classic cars. Not sure what standard the US uses.

Rapscallion

[DrFaroohk]

Oh I have no doubt it books for closer to 900 than, say, 6000, but the way these guys sell cars anyway...you'd think they'd sell the 900 dollar car for like 3600 or something. It had problems, but that was just general wear and tear stuff. Needed the breaks touched up, maybe a wheel bearing or two....not huge stuff that costs two grand.

[blas87]

Those insta-credit places are bad news. I feel bad for anyone who has to resort to those places or feels they have no other options.

[Imprl59]

I don't know if this is what happened with your car but normally what they do is take the car to the auction. They do it that way because if it should end up in front of a judge there is no question of it looking like they "fixed" the price by selling it cheap.

The bad side is that on paper you now owe them a ton of money. The good side is they rarely try very hard to collect. It's just part of the game... They probably had 2k in the car, you paid 6 and they got another 1 at the auction so they already made their money and now they move on to the next cheap car and next sucker who doesnt have any credit.

[HYHYBT]

They get the same money (eventually, probably, etc) no matter what the car sells for, so from their side, there's no reason to bother trying to get a good price.