Dear Terry, I want to purchase another car because the one I have now has given me more trouble than I care to continue supporting. However, I'm still making payments on it. What steps do I need to take to get it paid off in order to purchase a dependable vehicle? -- Jeanette KindleDear Jeanette, You should call your lender to get a payoff and then check a site like KBB.com or Edmunds.com to see what the car might be worth. You can check the trade-in value and the potential value of selling to a private party. If the value is greater than the loan amount, you're in good shape. If you owe more than it's worth, calculate when you'll have paid enough to make it worthwhile trading. You can generate an amortization schedule for your loan using Bankrate's " Monthly auto loan payment calculator." Here are this week's reader questions:•Low-cost car lease offers tempt buyers•Can I ditch my car loan by leaving the U.S.?•Which steps can help me pay off my vehicle?•Will a dealer's woes allow me to escape my lease?If you have a question for Terry, e-mail him at Driving for Dollars. Save money on your car -- sign up for Bankrate's new weekend Car & Money newsletter. advertisementRelated Links:Auto loan rates: March 26, 2009Saving on insuranceWhere's my car bailout?Related Articles:Vehicle leases going upOld loan not added to newCan't sell leased car
Dear Terry, I want to purchase another car because the one I have now has given me more trouble than I care to continue supporting. However, I'm still making payments on it. What steps do I need to take to get it paid off in order to purchase a dependable vehicle? -- Jeanette Kindle
Dear Jeanette, You should call your lender to get a payoff and then check a site like KBB.com or Edmunds.com to see what the car might be worth. You can check the trade-in value and the potential value of selling to a private party. If the value is greater than the loan amount, you're in good shape. If you owe more than it's worth, calculate when you'll have paid enough to make it worthwhile trading. You can generate an amortization schedule for your loan using Bankrate's " Monthly auto loan payment calculator."
If you have a question for Terry, e-mail him at Driving for Dollars. Save money on your car -- sign up for Bankrate's new weekend Car & Money newsletter.