Turning in Snap-on box?

[medV3x]

Hello everybody. I'd like to say thanks for the great community - I have browsed Garage Journal for a few years and always found great help and advice; now I'm in a bit of a tight spot and in need of some guidance. My apologizes if this post is inappropriate or in the wrong place.

I just left my job at a local auto repair shop. Life recently took a sudden turn and my priorities have since changed. I am now stuck with a Snap-on box I purchased just a few months ago and still owe money on. Due to my current circumstances, I have no need for the box and can no longer afford to make even minimum weekly payments on it.

I have contacted my Snap-on dealer simply asking what my options might be for "turning in" the box. He says that because I signed a contract, there is no way out - I must make weekly payments until my remaining balance is paid off, otherwise the box will be repossessed and my credit severely impacted.

Wholeheartedly, I admit to blindly and ignorantly signing this contract at the time of purchase... without "reading the fine print". This box is also the first I ever purchased from a big tool distributor.

I have heard that some dealers may take back a toolbox that has money owed on it, and relieve the original purchaser of any remaining debt. One friend says he was in a similar situation at one point; somehow, his dealer took the box back and in turn the remaining debt was dramatically reduced, though not erased.

Does anyone have any experience with such a situation? I would greatly appreciate any advice. I'm not looking to "return" the box and get money back or something.. I am simply looking to unload the box and - if possible - any remaining debt.

 

[General Geoff]

What percentage do you still owe on it?

 

[purplezr2]

I'm guessing you are currently upside down on the box in your dealers eyes, otherwise I don't see why he would not take it back and sell it used. Did you trade anything or put a down payment on it.

 

[ngk22r]

It al depends on how much equity the box has.

 

[Richard Cranium]

Yep, most likely owes more money then the rep. could get out of it used.

 

[medV3x]

What percentage do you still owe on it?

I do not have any of the paperwork with me at the moment, but I believe my remaining credit balance is about $4,900. At the time of purchase, I owed a little money on tools - when he opened my credit account for the box, he said he "rolled everything into one account".

I'm guessing you are currently upside down on the box in your dealers eyes, otherwise I don't see why he would not take it back and sell it used. Did you trade anything or put a down payment on it.

I traded in an old cart for $500. No additional down payment.

Thanks for your replies.

 

[Bdgjr215]

I wouldn't give it back,sell it outright to some one and put that money towards the debt.
There like cars trade to a dealer will be far less than you can sell out rite and you will still owe the balance remaining.

 

[Cypherian]

You would be better served selling it out right as you have vested interest in getting the best price the Dealer maybe not so much. Once you sell it go to the dealer with the money and renegotiate the payment schedule for the balance owed and sign paperwork BEFORE handing him the cash. Do this at a bank or some place that will notarize his signature and yours on receipt for money and renegotiated payment plan.... It is not that I don't trust the dealer but well I do not trust anyone when it comes to money. If he balks call Corporate and see if you can work the deal through them/him.

Cypher

 

[FigureItOut]

Coming out of nowhere with zero experience in this, but wouldn't there be a stipulation in his contract against short-selling it? I'd think he'd have to, or ought to, have the dealer aware of/involved in, any attempt to sell it.

Sent from my SAMSUNG-SGH-I337Z using Tapatalk

 

[honcho]

Unless you're prepared to take a huge ding in your credit rating and have Snap On credit and whoever they eventually sell bad debt to hound you for years and years, you need to find a way to pay off the box. Without knowing your overall financial situation (income, total debt, etc....) there's no way to really offer any good advice that might be of real use to you. If things are bad enough, bankruptcy is always an option but that will linger around and haunt you for several years as well.

Wish you luck!

 

[blown94conv]

Your are no where near Bankrupt and just in a bad spot right now. Talk to the dealer, were you prepaid on the box? Might have a few weeks coming before the nexxt payment is due. See if he can work a deal by selling the box for you, maybe he can put some pictures of it on the truck.

You did sign a contract, and agreed to make a payment. No different then any other credit account in the world. But communication with the lender, trying to do what you can when you can, and not walking away will keep your credit intact for the future. Don't ignore the calls, that only makes the problem a lot worse.

 

[Junkman]

You signed what is known as a collateral loan. You don't have the right to sell the collateral, without the consent of the lien holder. If you were to sell it, then Snap On could repossess it from the purchaser. The boxes are serial numbers, and that serial number is registered in your name. I would contact Snap On Credit, and see what you can work out with them. Explain your circumstances, and there is a good chance that they will work with you to find a resolution to the problem. The last thing that they want, is to loose money, nor do they want to put you into a financial bind with no way out.

 

[Davefr]

I agree that the place to start is a conversation with the dealer.

Yes, you're on the hook but there are options that might be viable. The dealer will want to avoid any repossession so he should be willing to work with you:

1. Extend the payment plan to give you some breathing room
2. Sell the box for what he can get and then have you pay off any balance. Maybe that final payoff can even be spaced out.

Try and avoid any scenario that will damage your credit!!

There are some tool truck dealers and former dealers on the forum. Maybe they can chime in.

 

[kythri]

You signed what is known as a collateral loan. You don't have the right to sell the collateral, without the consent of the lien holder. If you were to sell it, then Snap On could repossess it from the purchaser. The boxes are serial numbers, and that serial number is registered in your name.

Can you, or anyone else, PLEASE show any proof of this?

Snap-on boxes do not have titles. A serial number is simply a means of tracking something, it doesn't mean it has a title.

Unless someone can show actual evidence to the contrary, Snap-on Credit is a revolving credit account, and a box cannot be repossessed, from the original purchaser or from anyone else.

 

[nutsnbolts]

First off, I am really sorry to hear that you are in a tough spot, and I hope that things turn for the better

This may not be of much help, but I thought I should say it anyway. My friend did the same thing you did...first he bought tools from the truck guy, paid them down, bought more, etc. until he needed a bigger box. He still owed on his tools, but the truck guy made him a deal on a new box and "ROLLED IT ALL TOGETHER" into one account. Then my friend fell on hard times, lost that job and before he could get the tools out of that shop and to the next, it got repossessed, and he lost every tool in the box, including many tools that had been paid off years before and tools that were not even Snap-On.

Long story short, any tools that you do not owe this guy for, I would get them out of that tool box and somewhere else, just in case. I do wish you well my friend.

BTW, where do you live? People here are looking for new boxes all the time.

 

[Model A Fan]

This is why I view Snap-On, Cromwell, MatCo etc as a borderline scam. They sell overinflated pieces of equipment to people, who are often in less than favorable credit situations or people who don't have a steady enough income to afford something so exorbitantly priced. I've bought cars cheaper than that box. In fact, two of my cars combined don't cost what you blew on a big name box.

They don't perform noticeably better than say the Harbor Freight $370 model, but for some reason they "command" a ridiculous price. Some things should only be bought once you have enough cash to pay for them up front without doing "loans" and such. Buying a tool that is so expensive that you have to take a loan out to pay for it means the tool is too expensive. Rent one or buy the cheap model until you can afford to buy the overpriced version if that is what you really "need". Hopefully you can get out from under this box before it destroys what little credit you may have. I recommend never buying stuff from those kinds of places unless you can afford to do it all in one payment.

Why did you feel you needed the Snap-On box? Was it so you looked cool in front of your shop-mates? When you get into those brands, you're basically paying for the name. I will say USA made (if they are made in the US still) is a positive, but you should only buy them if you can afford them.

It sounds like you need to sell the box back to the dealer, take a small financial hit and use this as a learning experience, OR find someone else who is willing to pay you CASH for the difference on what you OWE and tell your Snap-On guy you sold it.

It sounds like someone took advantage of you and you're going to pay for it whether you sell the box privately or the Snap-On guy comes and "relieves" you of your burden.

Be careful and smart. A fool and his money are soon parted. The Snap-On guy parted you from your money once you signed that line. He's not looking out for you, he's padding his wallet off your hardship.

 

[kythri]

Then my friend fell on hard times, lost that job and before he could get the tools out of that shop and to the next, it got repossessed, and he lost every tool in the box, including many tools that had been paid off years before and tools that were not even Snap-On.

This box was not repossessed. This box, and it's contents, were stolen, with the assistance of the shop.

 

[L.Cheapo]

Talk with your dealer about him selling the box as used. He sees techs all day, and knows who is looking for a used box and what they want. He also has the ability to finance it to a would-be purchaser. You may still owe money at the end, but he will probably get more for it than you would, and you wont have to deal with the lowballers and crackheads on craigslist.

What part of the country are you in, and which box is it?

 

[JJThrasher]

Sounds like the dealer put you on a Snap On line of credit and rolled your existing truck debt into it. If that's the case you don't owe the truck dealer jack diddly, you owe Snap On the money. If that's the case you need to talk to Snap On credit about your options.

 

[ca90ss]

They don't perform noticeably better than say the Harbor Freight $370 model, but for some reason they "command" a ridiculous price.

I found that out the hard way this week with a KRA4107. I work in a small shop and have grown out of the Matco cart I have but still needed a box that didn't take up too much floor space. The Snap On box isn't much bigger than the Matco but my driver was willing to swap out 2 of the 4' drawers with 4 2" drawers so I would have 9 drawers. I had checked the 2" drawers of one of the other SO boxes at work and found I could fit my sockets and wrenches in them. The box showed up Thursday and I started loading it up and the stuff that fit in the 2" drawers of the other box didn't fit in my new box. Got out the tape measure and the " 2" " drawers measured 1-7/8". I know 1/8" difference isn't much but for me it's the difference between my tools fitting or not and without being able to use the 2" drawers as intended the box doesn't really offer and more space that the cart I already have and it's definitely not worth the $1500 price difference between the two. Went home and checked my Harbor freight box against the measurements on their website and everything was within less than 1/16" of what was advertised. If the 10 year old building boxes in China can get the measurements right then there's absolutely no excuse for SO to be that far off. So, when the driver shows up on Tuesday the box is going to be leaving with him and I'll go to HF instead.

 

[Marc Benjamin]

If you owe $4900 on the box, and the dealer didn't jump on the idea of you "turning it in" for an offset then chances are you are upside down by at least twice. This is because you bought it full or very close to full MSRP and the interest (25.99% ???) is tacked on. Even the dealer can't sell that box for $4900 let alone make a profit.

So let's say the street value of your used box is around 2.5 to 3.k. I seriously doubt you can even get a quick 3k cash for what you have. Rationale: 1/2 of msrp is actually hard to get from a used box, you'll move it faster if it's priced closer to 30%

So even if you are lucky enough to find a buyer, you still owe the difference and if you really can't pay that then you're credit will suffer anyway.

You are screwed either way. The "didn't pay on time / delinquency buckets" hit on your credit is the same whether or not it's a big balance or a slightly smaller one. It's a matter of past due occurrence not so much the amount.

Your only saving grace is seeing if SO credit has some form of deferment plan (which I doubt) and even then you'll still have to make payments maybe in a few months. Also, often hardship payment arrangements are only an option (if it's even an option at all) when the account is already in distress. Which means you will need to be delinquent first!


Unless you find work that pays more than what you were making, this is where you'll snowball and finally end up in bankruptcy.

Good luck!

-------------------

Some people take off the stickers off the box inside and outside to avoid all of this is there or is there not a lien on the box.

This helps a little when the whole: Heck they repoed the box already and everything inside but why do I still owe the entire current balance on my credit and now collections is garnishing my bank account.

If they repo boxes, they really should call it even, but it doesn't work like that. So you do what you need to do.

 

[medV3x]

Can you, or anyone else, PLEASE show any proof of this?

Snap-on boxes do not have titles. A serial number is simply a means of tracking something, it doesn't mean it has a title.

Unless someone can show actual evidence to the contrary, Snap-on Credit is a revolving credit account, and a box cannot be repossessed, from the original purchaser or from anyone else.

I am curious about this as well. Selling the box to a private party is something to consider, but I am completely lost on whether or not that is "allowed".

First off, I am really sorry to hear that you are in a tough spot, and I hope that things turn for the better

Thank you. Dealing with both career and medical issues at this time.

It sounds like you need to sell the box back to the dealer, take a small financial hit and use this as a learning experience, OR find someone else who is willing to pay you CASH for the difference on what you OWE and tell your Snap-On guy you sold it.

Your wisdom is very much appreciated.

Talk with your dealer about him selling the box as used. He sees techs all day, and knows who is looking for a used box and what they want. He also has the ability to finance it to a would-be purchaser. You may still owe money at the end, but he will probably get more for it than you would, and you wont have to deal with the lowballers and crackheads on craigslist.

I will keep this in mind.

I have a lot going on in the next few days and won't have time to contact my dealer for a bit. I am continuing payments as long as I can manage - definitely not trying to sacrifice my credit.

 

[Rlfd213]

Sorry to hear about what's going on, what about posting information on the box here and some pictures. Maybe someone on this forum would be interested

 

[Model A Fan]

Maybe take out a small personal loan at your bank or credit union and use it to pay off your Snap-On debt and slowly pay off the personal loan over 3-5 years.

 

[bry@n]

what model box? Maybe there is somebody local will to buy it.

 

[jimindm]

Well a tool box does not have a title, but the contract you sign does give SO the right to repo the value of tools to offset what you owe.

Much like a new car tools are only new once. They are worth less the day you unwrap them. A tool box is not new, if you have owned it. It just is not worth new price. You likely are upside down in it if you rolled the truck account over.

While you may call SO corporate to see what they can do, unfortunately they send a dealer out that so to speak value your box or any tools. You say you quit your job, maybe you are in another dealers territory and would not have to deal with the guy that does not want to help you.

While I would be amiss to tell you that SO corporate likely does not pursue many of these type of deals. They likely would never come after you. Unfortunately dealers stick together, and if you ever fill out any kind of credit form you can bet that your name will come up. The dealer you bought it from will certainly take some kind of hit, for you not paying.

So if you think you will never fill out a credit application guess again, most dealers want them filled out unless you are buying out right. My dealer actually asks me about mine every few years, to keep it updated.

While I am not exactly sure how the contract is wrote, word wise, you still borrowed on that tool box. That is what the sale was, that needed the contract. So yes with a serial number that box could be traced back to you as owing on it.

I have had the opportunity to buy many slightly used tool boxes on the private market. As soon as I ask for the dealers phone number to verify that it is paid for, there is usually a long pause. I would maybe buy one through an auction that is advertised all owned equipment, but I would never buy one off of craigslist, with out doing my due diligence.

 

[wafrederick]

Snap On legally owns the tool box if not paid off and can legally repo it still if you sell it.The person that buys it does not get their money back just like an used car.Don't burn anyone interested in it whom will buy it this way.There was one on FB for sale and the guy still owed money on it.The buyer whom was going to buy it was not too happy when being told that the seller still owed money on it.He backed out on the deal for this reason.

 

[kythri]

No, they can't. They can't repossess it, and they most certainly can't take it away from a 3rd party that purchases it. The most they could do is take you to court and try to get a judgement against you that allows them to take the box from you in lieu of your debt in part or full.

This nonsense needs to stop being spread as if gospel.

 

[K-Dog]

This *****.
MOST Snap-On guys are not dicks believe it or not.
Did you explain your dilemma to your Snap-On guy? Ultimately all they want is their money, I doubt they could care less where it comes from.

It sounds like no matter what it gonna hurt, the question is is it gonna hurt a lot or a little bit.

 

[Strouty]

No, they can't. They can't repossess it, and they most certainly can't take it away from a 3rd party that purchases it. The most they could do is take you to court and try to get a judgement against you that allows them to take the box from you in lieu of your debt in part or full.

This nonsense needs to stop being spread as if gospel.

Not sure what makes you think your info is any better?

 

[wafrederick]

Snap On can repo it without going to court.First thing you do when purchasing these newer Snap On tool boxes is find the serial number and have it checked if there is money still owed on them.You don't want it if there is money still owed on it.

 

[purplezr2]

This is why I view Snap-On, Cromwell, MatCo etc as a borderline scam. They sell overinflated pieces of equipment to people, who are often in less than favorable credit situations or people who don't have a steady enough income to afford something so exorbitantly priced. I've bought cars cheaper than that box. In fact, two of my cars combined don't cost what you blew on a big name box.

So what happens personal responsibility? No one is forcing people to buy these boxes. I bought my Epiq with cash, it was used though. I have bought many cars that cost less than my toolbox. Actually I flipped a car to buy my toolbox.

Either way, I see it no different than buying anything else on payments, weather its a car, house, boat, etc. You need to figure out if you can afford it. Affording and paying payments are two different things. Affording something mean you can make the monthlies plus any maintenance, insurance, incidentals. To me it also means having a years worth of payments sitting in a savings account "just in case"

It sounds like someone took advantage of you and you're going to pay for it whether you sell the box privately or the Snap-On guy comes and "relieves" you of your burden.

Be careful and smart. A fool and his money are soon parted. The Snap-On guy parted you from your money once you signed that line. He's not looking out for you, he's padding his wallet off your hardship.

Again the OP is an adult, its not like the dealer forced him to buy a box. A dealer sold the goods to him at negotiated price and payments schedule. By signing the contract the OP agreed to the terms. I don't see how he was taken advantage off.

 

[kctyphoon]

Snap On legally owns the tool box if not paid off and can legally repo it still if you sell it.The person that buys it does not get their money back just like an used car.Don't burn anyone interested in it whom will buy it this way.There was one on FB for sale and the guy still owed money on it.The buyer whom was going to buy it was not too happy when being told that the seller still owed money on it.He backed out on the deal for this reason.

This is ONLY a factor if he keeps the money he got for it, and doesn't pay the box off

 

[medV3x]

Forgot to mention, since I've been asked a few times - the box in question is a black KRA2422.

 

[kctyphoon]

Well - I'm not an expert, a mechanic, or buy snap on tools.. I sincerely hope the 26% interest rate from snap on was a joke.. If it's not, anyone that agrees to that is a complete fool..

That said - I wouldn't do anything until talking to snap on (not the dealer) and telling them your situation, and that you want to make good on sale, but you need some help.. If you paid close to full retail there is probably some room for negotiation on the balance both if you turned in the box, or if you kept it. See what makes more sense for you. Maybe you can turn the box in and just be responsibly for a minimum balance, or maybe it makes more sense for you to sell it, and just kick in a few more dollars to make the balance go away.

Don't just blindly turn the thing in, then you have nothing to negotiate with and you will still be held responsible for the full amount.

Next questions, how old are you? Are you buying a house or trying to lease a car soon? (You don't need to answer - just making a point) The "hit" on your credit is not nearly as bad as some people make it out to be, and if you have no plans or need to borrow money or finance anything soon (within the next year) then your earth will keep spinning. You could even just wait for the debt to go into collections cause they will probably knock as much as a third off the balance if you can make the payment in full. Not idea, but another option if you need it and might even make more sense. Snap on doesn't want the box back - they want the money.. But they can get more money by working a deal with you then they ever could by letting the debt go uncollected and then selling it to a collection agency for nickels on the dollar. You can even remind them of this if they seem very unwilling to do anything at all.

Your lucky in the sense that you physically "have" something of value, and didn't just blow the money on clothes or a vacation. In your best guess, what do you think the difference would be in what you owe and what the boxes value is if you sold it or turned it in... If your credit is now in decent shape you can think about opening a credit card to carry the remaining balance, and one with 6 months interest free payments.. You can even bounce that balance back and forth between 2 or 3 cards that offer a no interest rate period if you open an account with them.

Consider it a lesson learned and stop buying **** from snap on at crazy prices just cause other people tell you it's a good idea.

 

[Skin]

No, they can't. They can't repossess it

They can, its an "implied lein" which covers them in situations where someone tells them to screw. I do agree that its overstated with how well they track sales though, I doubt most serial numbers are registered and even then we're talking about a sticker. Snap-On credit would much rather collect interest though and the dealer isn't going to want a used box back with 5grand on the balance. Im not even sure he could take it back for his cost with the debt in Snap-On credit.

OP im guessing this isn't your only outstanding debt. If you have any owned property you could potentially seek a loan against it however if you're completely out of options it may be best to seek professional financial advise and in turn most likely consolidate all your debt and work out payments then dump the box for cash, and im sorry to say but you'll be lucky to get $1500 unless you're in a region where boxes really move. The sooner you act the more grief you'll save yourself in the long run. If you ever get back in the industry never ever pay list for a truck box. You probably could of haggled that Classic down to 3 grand without much trouble.

2 other notes. People using poor judgment with debt is very common so don't let these guys stomp you while you're down. You made a bad call, just learn from it and you'll be ahead of most in the future.

Second, if your dealer wont even help you sell it (he'd be the best avenue for top dollar), then the guy is being a bit of a douche, probably best to just cut all communication with him and deal with Snap-On directly.

 

[kctyphoon]

So what happens personal responsibility? No one is forcing people to buy these boxes. I bought my Epiq with cash, it was used though. I have bought many cars that cost less than my toolbox. Actually I flipped a car to buy my toolbox.

Either way, I see it no different than buying anything else on payments, weather its a car, house, boat, etc. You need to figure out if you can afford it. Affording and paying payments are two different things. Affording something mean you can make the monthlies plus any maintenance, insurance, incidentals. To me it also means having a years worth of payments sitting in a savings account "just in case"




Again the OP is an adult, its not like the dealer forced him to buy a box. A dealer sold the goods to him at negotiated price and payments schedule. By signing the contract the OP agreed to the terms. I don't see how he was taken advantage off.

All good points. Please remember them the next time you see a thread full of people telling the next young guy it's a "good investment" into his future to NOT buy anything but snap on, cause everything else is a waste of money, and. - it's more expensive to buy things twice than it is to do it the first time.. I'll keep my eyes open in the next thread that pops up..

 

[kctyphoon]

They can, its an "implied lein" which covers them in situations where someone tells them to screw. I do agree that its overstated with how well they track sales though, I doubt most serial numbers are registered and even then we're talking about a sticker. Snap-On credit would much rather collect interest though and the dealer isn't going to want a used box back with 5grand on the balance.

OP im guessing this isn't your only outstanding debt. If you have any owned property you could potentially seek a loan against it however if you're completely out of options it may be best to seek professional financial advise and in turn most likely consolidate all your debt and work out payments then dump the box for cash. The sooner you act the more grief you'll save yourself in the long run.

Debt consolidation only works if you CAN make an immediate payment in full on an agreed price. Also - what most people don't know, is anything you don't need to pay back is considered income and you will be responsible for paying income tax on that money at the end of the tax season.. so if you had $80,000 in credit card debt and settled on paying $40,000 back - you will HAVE TO pay income tax on that other $40,000....

 

[Ramblin Man]

All good points. Please remember them the next time you see a thread full of people telling the next young guy it's a "good investment" into his future to NOT buy anything but snap on, cause everything else is a waste of money, and. - it's more expensive to buy things twice than it is to do it the first time.. I'll keep my eyes open in the next thread that pops up..

Sir, I agree with you completely. And I have over $80,000 in Snap On tools alone. But, that is over 30 years. Again, I agree with you, for a young person to use wisdom. I DID NOT a few times. Hell, quite a few times.

 

[toolman9w]

OP. You need to talk to Snap On directly as others have suggested. Yes a repo is a repo is a repo and it will hurt your credit. They have programs for such problems in life but you have to call and talk to the credit department.
If you are already behind on payments they can legally repossess it (just to put to bed some bad info on this thread). You cannot sell it as you do not own it til it is paid in full (just to put some more bad info to bed). Hope this helps and good luck.