I have stopped paying my credit card bills to conserve what cash I have remaining. I am unemployed and hoping to get rehired in the near future. I am still paying my house mortgage and car loan. The house actually has a small amount of equity in it and the van has around 3k equity in it. The car loan is with a credit union that I also have a credit card with 15k owed on it that I stopped paying on. My question is how should I pay on the car loan? Should I pay by check, money order, cash, etc.? I would prefer to make electronic payments from my checking account with my new bank that I owe no money to but I am afraid that the credit union could access my funds at the new bank. I am concerned about losing the last bit of cash I have left that may have to last me another 6-9 months. Are electronic payments safe? How should I pay?
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I'd play it safe and just write a check.
I assume by posting on this site, bk is a viable option. Just a heads up-likely you have a crosscollateralization agreement when you opened the account with the CU. They're pretty standard among CU's.Tis means, if you default on the cc and don't reaffirm the auto loan they can repo your car even if you're current.
This is something you need to discuss with your lawyer.
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