Reply
New Visitor
shbrj2005
Posts: 1
Registered: ‎01-01-2013

Re: Anyone have experience with Credit Acceptance auto loans?

This place is ridiculous! I would recommend that no one, under any circumstances, use this company! You are asking for trouble! I had a car financed through them. Worst mistake of my life. The car was a lemon. I could not afford car payments and car repair, so I called them and said to come get the car as I don't have the money and I was getting further into debt. They did come to get the car. I called them a week later asking about the remaining balance on the loan. I was told that the car would be sold that following week and to call back then. I did and left my name and number on a voicemail. I never got a call back ever, and finally, I got tired of calling and quit making attempts.

Three months ago, I found out that they were filing a judgment against me and were planning on garnishing my paycheck. The only reason I even knew this was about to happen was because I looked myself up on my local clerk of courts website. I never ever received anything from this company in writing or otherwise that explained anything about this situation. They never contacted me after the many attempts I had made. And they did garnish my paycheck, four times. I filed bankruptcy to clear this up, and I will make sure that everyone I speak to is fully aware of Credit Acceptance Corp and their sneaky tactics and what a low-life group of scum is employed there. I am a single mother, who could not afford the garnishment, and it really put a strain on me. And the sad part is that I would have gladly worked out some type of arrangement with them had I been given the opportunity. So again, I say please, please, please stay away from this company!

Valued Contributor
maiden_girl
Posts: 2,005
Registered: ‎12-29-2011

Re: Anyone have experience with Credit Acceptance auto loans?


topnotch wrote:

I work for an automotive finance company and although it is unfortunate that financial circumstances change as they sometimes do, anytime a vehicle is purchased under a legal binding contract the individual signing the contract is responsible for seeing the loan through; regardless if the vehicle is drivable or not, or if it is in your possession. While I have had to learn this the hard way, I would like to inform others that whenever anything is purchased using credit, if you default on the loan it will show as negative on your credit report. However, if there is a discrepancy in the information that is reported to any of the three major credit bureaus an individual can dispute the claim that is against them by obtaining a free credit report from each credit bureau.

 

Purchasing a vehicle under finance is very much the same thing as purchasing a home with a mortage. Both of which are considered secured loans and if either is defaulted on, the finance company has the right to repo/foreclosed and go after what is rightfully their's; the remaining balance plus any fees associated with repo/foreclosure. However, the company should also take off whatever monetary reimbursement they receive after the selling of such items. For instance, if you did default on a JEEP your credit reports should list the jeep and how much is left being owed on the vehicle after the auction or selling of the vehicle. So, if there is a discrepancy please dispute the claim against you so that the credit bureaus can report the correct information. Also, if the claim is almost seven years old you may want to consider not contacting the finance company because it can only appear on your credit report for seven years after last contact. Which means that if it has been six years since contact and you contact them now, the seven years will begin all over again.

 

Good luck!


True.

 

+1

 

Wait until the 7 year mark then settle the debt.

The truth is out there...
FICO scores: 724 (EQ) 709 (EX) 711 (TU) 4/14 | Goal score: 750+ (all 3)
Tradelines: Capital One (5.0k) | Discover IT (5.0k) | Walmart Discover (5.0k) | Chase Freedom NPSL (7.3k) | Citi Simplicity (9.3k)
--------------------------Gardening until my credit recovers...NO MORE INQUIRES TIL 2015
New Visitor
joann2013
Posts: 1
Registered: ‎01-29-2013

Re: Anyone have experience with Credit Acceptance auto loans?

We just purchased a SUV the last of December for around $10,000 and later learned that the finace charge was over $9,000 which will cause us to pay $23,000 for the truck.  I called customer service and asked if we could return the truck to the lot but they said NO that they would have to repossess the truck even though its voluntary and we would still be responsible for paying a lump sum due to we signed a contract with the finance company.  This is a total rip-off.  I don't even care about the credit at this point, I just want out of this high, rediculous, finance charge.  We are paying double for the vehicle!!!!   I would say No, do not deal with this company.

Community Leader
Senior Contributor
StartingOver10
Posts: 3,809
Registered: ‎03-06-2010

Re: Anyone have experience with Credit Acceptance auto loans?


joann2013 wrote:

We just purchased a SUV the last of December for around $10,000 and later learned that the finace charge was over $9,000 which will cause us to pay $23,000 for the truck.  I called customer service and asked if we could return the truck to the lot but they said NO that they would have to repossess the truck even though its voluntary and we would still be responsible for paying a lump sum due to we signed a contract with the finance company.  This is a total rip-off.  I don't even care about the credit at this point, I just want out of this high, rediculous, finance charge.  We are paying double for the vehicle!!!!   I would say No, do not deal with this company.


I just have to respond to this comment:  the finance charge is the cost of money - not the cost of the vehicle. So you are still paying $10k for the vehicle + another $9k for the priviledge of borrowing the money.

 

If you had cash, you would be paying the $10,000 (or maybe less) for the vehicle you purchased above. But, since many of us don't have the cash, we have to finance the purchase. Borrowing the funds costs money in the form of interest. That interest rate is negotiable, but it is based on your credit file plus how good you are at negotiating with the finance guy at the dealership. He/she gets a bonus for hitting you up for additional interest beyond which the lender will accept. Note, it is common for the F&I guy to tack on at least 2% to the rate the bank will really take for your deal. Anyway, I am rambling now.

 

My point is this: if you don't like the rate, don't take the deal. If you don't like the rate and can't negotiate a better deal, leave the dealership and go some where else to buy. If your back is against the wall that's when the worst decisions are made. BTDT. :smileysad:

 

Having said that, if you are currently in a bad deal, then work on your credit to refiance out of it or sell the car. Don't trade it as it will make the debt worse.

 

If you remember to separate the transactions: the purchase of the vehicle vs the cost of money, you will get better deals in the long run.


myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+