If you find yourself in a situation where you are behind on your finances, you may be wondering if you can defer a car payment. The answer is yes. So, the next thing you’ll want to know is: How do you set up a payment deferment on a car loan? The finance team at Westbrook Honda is here to fill you in on deferring a car loan payment.
What is a payment deferment on a car loan? It is simply asking your lender to skip a monthly payment. Securing a payment deferment will help you avoid having your vehicle repossessed for missing a payment. Some auto loans offered in the New London area have built-in deferment policies, but it is best to speak directly with your loan provider to get their approval.
Make sure that you are open and honest with your lender when asking to defer a car payment. It is important that they can have a clear understanding of your current financial situation. Some lenders may only approve one deferment, or they may approve multiple deferments depending on their policies and your current situation. Note that even though you defer a car loan payment, you may still be required to pay interest.
Before deciding to defer a car payment, you should make sure to explore all of your available options, such as asking your Middletown-area family and friends for help. However, if it becomes apparent that your best choice is to defer a car payment, take the following pros and cons into consideration.
Can you defer a car payment? It will depend on your lender, so it is important that you contact them to get all of the details. The finance experts at Westbrook Honda can walk you through your options and help you determine a payment plan that is best suited to your budget while helping you understand secured loans. If you have any questions or would like more information on whether you can negotiate a lease buyout or whether to opt for an extended warranty, please don’t hesitate to contact us.