Can I trade my financed car (only had it for 7 months) for a cheaper car? Would it affect my credit?

I%26#039;ve financed a car for 72 months, I took out a loan for almost 32,000 but I can%26#039;t afford it anymore. I realized it was a mistake because now I need to move out of my house and can%26#039;t pay rent and my car payments. I wanted to know if I could change it for a cheaper car to bring my monthy payments down to about $300. Do I have to return it to the same dealer where I bought it? They%26#039;ve given me a hard time so I wanted to take it somewhere else. I know this would probably affect my credit but at this point I don%26#039;t even care. I%26#039;m just too stressed and need to find a solution ASAP. Does anyone know about this?

Can I trade my financed car (only had it for 7 months) for a cheaper car? Would it affect my credit?

You may owe more than it is worth so you would need to pay for the trade. Look at what you can sell it for and how much you owe. If you still owe most of the 32K and it is only worth 30K you would need to pay 2K to get someone to take it.

The dealer hasn%26#039;t got anything to do with you any more the lender is owed the money but they don%26#039;t sell cars or want your car. The will repo it if you don%26#039;t keep up the payments and sell it for whatever they can get then sue you for the rest. They might garnish your pay. The lender doesn%26#039;t have a car to sell you so you would have to try to find someone that will give you credit on a cheap car.

Can I trade my financed car (only had it for 7 months) for a cheaper car? Would it affect my credit?

The problem is that because of depreciation you won%26#039;t be able to get any where near the money you paid for a trade in no matter how few miles you%26#039;ve put on the car. You will end up having to roll the negative equity into a new loan. To offset this you will have to really trade down, maybe even to an used car.

Can I trade my financed car (only had it for 7 months) for a cheaper car? Would it affect my credit?

The best way out of this mess is to sell the car. Pay off the rest of the loan and then buy a used car with cash. Even if all you can get is a clunker for a few hundred dollars, it%26#039;s still better than drowning in car loan debt. When you want a better car, save up some more money and repeat the process.