I Cant Pay my car Loan 18,900 (Toyota financials) what will be the Effect?

[dev]

i have a car loan of 18,900 now. I Met with an Accident and my car was totalled i was not carrying collision coverage when i was buying car i had collision coverage later i removed the collision coverage.i have a Co-signer also on my car loan how he will be effected ? I cant pay the full loan amount if the toyota financial comes to know about this and if they demand me to pay the loan amount.I Got the Police report about the accident they stated as case of confusion and cant determine whoz fault it is...and the insurance people are also not able to determine whoz fault.i am in state of Tenneessee.

anyone please save me from this situation with a good idea ..

 

[Steve]

There is no good idea to save you from this situation. I'm sure you are not interested in hearing this, but it was extremely foolish of you to allow your insurance to lapse. Why you chose to do this is beyond me since doing so probably made the entire loan balance due on demand (not to mention the risk of an accident).

Fault in the accident has nothing at all to do with financial liability for paying off the loan, except that if the report had clearly said that you were not at fault, you probably could have gotten the other person's insurance to pay.

The bottom line is this - if you can't or won't pay, the person that co-signed for the loan is now stuck with paying a big slug of money for a pile of rusting junk.