Refinance budget-busting car paymentDear Terry, I have a car loan that is financed at 20 percent. The payments are killing me! Because the interest rate is so high, I still owe $17,000 on an $18,000 loan after almost two years of payments. What is the best way to get out of this? -- GraceDear Grace, If you have adequate credit and a spotless payment record on this loan, your best bet is to refinance and keep paying on the loan until you can get the balance down to where the car is worth more than what is owed.Here are this week's reader questions:Spending $55 may save a driver's lifeHow can I ditch a budget-busting car payment?Is it too late to file a lemon-law complaint?Will I owe after my car is repossessed? advertisementreplacecontent-tcm:8-16557Related articlesNew or used car?Monthly auto loan payment calculatorSign up for free Car and Money News
Dear Terry, I have a car loan that is financed at 20 percent. The payments are killing me! Because the interest rate is so high, I still owe $17,000 on an $18,000 loan after almost two years of payments. What is the best way to get out of this? -- Grace
Dear Grace, If you have adequate credit and a spotless payment record on this loan, your best bet is to refinance and keep paying on the loan until you can get the balance down to where the car is worth more than what is owed.