Join the Meeting Place for Moms!
Talk to other moms, share advice, and have fun!

(minimum 6 characters)

1 Bump

What does "payoff with proceeds" mean on an auto loan application?

Answer Question

Asked by lovinangels at 10:35 PM on Feb. 25, 2011 in Money & Work

Level 39 (112,638 Credits)
Answers (2)
  • Without knowing all the details and reading the whole sentence(s) that pertain to it, my only guess would be that if the vehicle is repossessed then the proceeds of what it brings in when sold would go to the loan that is in default.


    Answer by JeremysMom at 10:57 PM on Feb. 25, 2011

  • It mean, if you default on the loan, the car will be sold to pay off the balance of the note.

    The only item you should buy with a payment plan is a house; if you can't pay cash for a car, you are spending more than you can afford.

    Answer by rkoloms at 5:54 AM on Feb. 26, 2011

Join CafeMom now to contribute your answer and become part of our community. It's free and takes just a minute.

Next question in Money & Work

Next question overall (Relationships)
What now?