Dear Driving for Dollars,
I couldn’t pay my car loan in full because I was laid off. I let the bank know and made regular payments of $200 instead of the full $329. After three months, it repossessed my car. Should I claim bankruptcy?
— Mindy

Dear Mindy,
It’s best to view your record, it will be unlikely you’ll qualify for a mortgage loan or refinance. It will be very difficult to get a smaller loan, such as a car loan, and get approved for credit. If you do, it will be at a high interest rate. Talk to a credit counselor to get some advice about your financial situation and to see if bankruptcy is the best alternative for you.

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If you have a car question, e-mail it to us at Driving for Dollars.

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