Watch out for messages such as for example:
“We’ll pay back your loan in spite of how much you owe”
Some automobile dealers promote that when you trade in one single automobile to purchase another, they are going to spend the balance off of your loan – no matter just how much you borrowed from. However some individuals owe more about their car compared to automobile is really worth. This is certainly called “negative equity, ” and for such people, the dealer’s guarantees to repay their whole loan are misleading.
The Federal Trade Commission (FTC), the nation’s customer security agency, claims that individuals with negative equity should spend unique focus on car trade-in provides. That’s because even though the advertising claims that they can don’t have any further obligation for any number of their old loan, the advertising can be untrue. Read More