What would you do?

In 2016, when I was a fresh 21 year old, I was T-Boned by a tow truck driver. We both had the same garbage insurance that rejected to pay me — whether it was liability of the tow truck or my own full cover.

I owed 22k on the car. I, not knowing anything about credit, took the advice of a car salesman and filed chapter 7. Did not pursue the insurance company.

Since then, I have paid thousands of dollars in high interest auto loans to recover from that mistake. I have over 25 active credit accounts, all paid 100% on time, no collections, etc. The chapter 7 should fall off in 6 months as it hits 10 years.

And now, I am back in square 1 of making a big decision… I purchased an Alfa Romeo at 18% APR 3 years ago. A couple of months ago it broke down, and needs an engine. 17k cost. Car’s trade in value is 12k at best — and that’s after it’s repaired.

I owe 30k on the car. Insurance and parking is another $600 total per month.

I have an extended warranty who is wrongly denying the claim. I can take them to arbitration, and the facts of the case is in my favor, though that doesn’t guarantee a win.

I purchased another car when the Alfa broke down. So I do have another open auto loan now. 2nd auto loan.

I have paid off 9 auto loans since my chapter 7. Still hold all other accounts.

Do I stop paying for the Alfa and take a repo on my credit? Or do I continue throwing away ~$1,500 a month of a car that is of no use?

I worked so hard to bring my credit back up after a stupid decision making last time. But I just don’t know if avoiding a repo on my credit is worth a total of $60k ish over the next 4 years.

What would you do?