"I'm Upside Down Over $10,000 In My Car, The Note Is Destroying My Finances..." People Facing Repo 😳

Added: 2026-05-19

[00:00:00]Y'all, the reason why I'm sharing this information with you guys cuz I don't want you guys to be like 17 thinking about getting your dream car. If you don't have the money for it, don't get it. You know what I'm saying? And to be honest with you, I just want to document my journey how I'm going to get rid of it, right? So basically, boom, I financed this car. The vehicle in total was um $39,000, right? But I was um upside down 10,000, basically like $10,000.

[00:00:26]I I traded my old Kia and I didn't know the dealership didn't tell me that the Kia has been in a lot of accidents. It hit a motorcycle. It hit a person. Like didn't tell me none of this [ __ ] when I got the Kia. I'm thinking like nothing's wrong with the Kia. It hasn't been in no car crashes. I asked them, he said no.

[00:00:41]So I'm thinking everything's okay, which is was cap.

[00:00:45]Everything was not okay.

[00:00:47]Um but it is what it is. I financed it for um 14 What is it called? P um at It's called APR something like that, 14%. Your interest rate.

[00:00:57]>> it for that and my loan was $46,000, right, y'all?

[00:01:02]Almost 2 years later the car is still I still have $40,000 on the car. So basically, basically, I've been paying for [ __ ] what?

[00:01:13]I want to tell you guys, but I don't want to show you guys my VIN number, but like that ass y'all like this [ __ ] is crazy, y'all. It's crazy. Like how do I show you guys what I was telling you guys so much?

[00:01:22]Look.

[00:01:25]It's crazy. And it's like this [ __ ] is just like, you know, me struggling right now. My mom doesn't know I'm struggling.

[00:01:32]My mom is struggling, too. And it's just like it's hard because like I've been making the ends meet with DoorDash. If it wasn't for DoorDash, I wouldn't even be I wouldn't even be able to eat. And it's like this car is on my dad's name and it's on my name. So I don't want to [ __ ] up my dad's credit. My dad's trying to get a house. He just got a house. He sold his house and now he wants to get the other house. I don't want to mess up his car like his credit cuz my dad have really good credit like 700.

[00:01:57]They seen coming a mile away. And when I say a mile, everybody that sold her car up to this point in her life, the first people that sold her whatever her used Kia was, they seen her coming a mile away. And this is another reason why I say women need to have men in their lives because men are a form of protection. When I say protection, it's beyond just, you know, fighting and scrapping and shooting and if somebody come into the house, it's also protecting you against yourself, protecting you against predators, protecting you against dealerships, protecting you against individual sellers, protecting you against people that's trying to finesse you, protecting you against like anything, right? And so, I don't even know why her father wouldn't step in and say, "Hey, listen, this is not a good play for you. This is not something that's going to benefit you. You need to walk away from this." And sometimes we get in our own way so much and we want to stunt so hard and keep up with the Joneses that we make a bad decision that we going to regret for the rest of our life. Now, not only was she upside down.

[00:03:02]That means that she was $10,000 in the hole when she traded her car in. She should have just stayed in the car, to be honest with you. She should have just stayed in it, paid it off, drove it drove it until they died. But, this is why everything that glitters is gold is not gold. And when you see people, you know, a lot of times out here and you wishing that you was them where you looking and you saying, "Damn, why they able to get all of this? Why they able to get to this space in their life?" You don't know what these people are going through. She just said that she DoorDash in and she trying to make ends meet because she's made some bad decisions, then went and financed another car, got a high interest rate. I think what did she say?

[00:03:42]Like 14% or some high interest rate of whatever it was.

[00:03:47]And what people don't understand is that it's all front-loaded. So, like even if you buy a house, right? The reason why it take 30 years to pay off a house, however much the house is, and y'all finance it for a 30-year rate, which is crazy to me. It's always been crazy to me. Is because all of the interest is front loaded. So, you paying the majority in the early part of the loan, the first 10, 15 years, most of it is going towards the interest, very little of it is going towards the principal.

[00:04:14]The principal is the amount that you still owe. And if you pay off more of the principal, you'll pay less in interest. But, because we're not educated, because we don't look to understand, because we so busy trying to get things, and and this is the another reason why I say that I believe that Americans in general have a spending problem, not a earning problem. It's not that you don't make enough. It's me It's It's that you trying to make more so that you can cover expenses that you should have never had in the first place. And I'm not dissing the girl because I think that, you know, it's important for her to tell these stories so that we can have these conversations.

[00:04:52]And, you know, maybe you won't fall victim and be in the same space as a lot of these other people. But, the reality is that, you know, it's it's it's sad.

[00:05:01]It's sad because now you got to dig yourself out of the hole. And this is applicable to student loans. It's applicable to buying a house. It's applicable to credit cards. It's applicable to, you know, buying a car.

[00:05:13]All of these situations I see people regularly regularly making bad decisions often. And it it results in you regretting a decision and then y'all saying, "Well, wait a minute. I don't make enough. I need to be paid X amount of money. I don't make a livable wage. I don't do this. I don't do that." And it's because you got self-inflicted wounds from making bad decisions on top of bad decisions. And then now, you know, she trying to figure it out.

[00:05:40]She got to get an extra job. She got to DoorDash. She got to do all of these things.

[00:05:45]And it's just bad all across the board.

[00:05:46]Mama struggling, dad is struggling, but he got good credit, so she's able to leverage her credit in order to get the car.

[00:05:54]And if she wasn't able to get it in her own name, she probably shouldn't have got it in the first place. And y'all paying these high car notes, and these cars be depreciating faster than a mug, and you don't have no assets to be able to pour into your future.

[00:06:09]Sucks, bro. It's a It's a sucky situation. This car is on my name is my dad's name. What are people really paying for a car note these days?

[00:06:18]Cuz I feel like my car note is high, and it's not even that high. I pay $483 a month for a 2020 Subaru Impreza that I bought in 2022 pre-owned with 10,000 miles on it, and I think I financed about $26,000.

[00:06:34]Older people used to just save their money.

[00:06:37]And they would drive a beater, right?

[00:06:39]You just get a beater. This is what I was taught when I was younger. You get whatever the car you can get, and you can just pay for it. Still got to pay for the insurance and the gas, so it's not going to be completely paid off as far as just being just getting the car and go. Still got maintenance, still got tires, still got repairs, still got all of that. So, get something that that you can afford. The true cost of something is what the maintenance is. The maintenance is the thing that's going to kick your butt. The insurance, the tags, all of that type of stuff. I don't even want to tell you what my insurance is. I don't even want to tell you what my tags are. I want to tell you none of that cuz it's crazy. It's absolutely insane. But, my point is is that when I look at people that finance these cars, and whether it's 26,000 or 16,000 or 46,000 or 80,000, it don't make sense to me cuz unless your assets is paying for your car note, and you can also justify it as a write-off or something like that, why are you doing it? Why are people paying these crazy car notes?

[00:07:37]This October it'll be 5 years since I bought the car, so I'm like close to having it paid off. Real sassy, too.

[00:07:44]I have 8,700 more dollars to pay off and I have a 5.3% interest rate. But, I keep seeing people talking about having car notes like $800, $700 with like similar cars, like not luxury, just like a basic car.

[00:07:59]And I just I don't understand that. I don't understand how that's possible.

[00:08:03]Maybe because like buying a brand new car off the lot is more expensive. I would never do that. I think that is a horrible financial decision. It's not.

[00:08:11]If you can afford it, whatever you can afford, if you can afford it, and if you could just pay for it, it's never a bad financial decision. You got to live life. But, if you can't afford it, then it becomes a bad financial decision.

[00:08:22]But, By having a car note, in my opinion, is a bad financial decision. I'm just perplexed. What does your else insurance look like on a car payment that high?

[00:08:33]I don't know. I'm I'm ready to just pay this off in full and not ever have to pay a car note again until this thing doesn't work anymore.

[00:08:42]This report that came out today is unbelievable. The people that traded in cars in 2026 and bought a brand new vehicle averaged $7,000 of negative equity. And people are just buried in their cars right now. I had a customer come in today. They were $10,000 upside down. If you had the best credit Was it the first girl?

[00:09:00]>> [laughter] >> WAS IT THE FIRST ONE? WE'RE SAYING, DO YOU KNOW HOW hard it is to get $10,000 of negative equity carried? It's almost impossible. Average price of a new car high 40s, low 50s, somewhere in that ballpark. With $7,000 of negative equity makes that car 50, 60 grand. To give you any idea, $7,000 alone on a monthly payment is about 140 bucks a month. And that's on good credit. On bad credit, that's about $210 a month. On a negative equity basis, that was the second highest reported quarter ever. The first highest was 2025 quarter four. That is just a wild statistic that's $7,000 on the average trade-in on a new vehicle.

[00:09:42]That is just it's mind-blowing. And I would almost bet that 3 to $4,000 of that negative equity probably has to do with dealer add-ons. Just my guess.

[00:09:52]is dumb. And I think that more people just need to get a car.

[00:09:56]Whatever you got, if you paid it off, drive it. Right? If you need a car, go buy something used and then drive it and then take care of it. And maintain it.

[00:10:04]Change the spark plugs, do the oil changes, transmission fluid, all of that stuff. Let me know what y'all think inside of the comments. Make sure y'all tap into the Patreon. Link is in the description. Teach Hanley, 40% off your first order, 20% off for life. I love you. I appreciate you. I'mma holler at you guys later. Peace.