Reply
New Member
chrmnxpnoy
Posts: 2
Registered: ‎06-17-2013

Delete

[ Edited ]

Delete

Established Contributor
Cageym
Posts: 507
Registered: ‎07-31-2012

Re: Can a dealer not accept a credit union auto loan check?

Who did the financing on the car, whas it through the dealer themselves or did they secure outside financing? At this point I don't think they are under any obligation to take any other financing from you, they have their money. Best you can hope for I think is to pay off whoever wrote the loan or refi through PenFed.

 

Not to chastise or anything but NEVER believe what a delear tells you. Unless it's in writing it never happened. My Grandfather sold cars for 35 years and he taught me a couple of things about how they try to get over on people.


What's in my wallet: Cap1 Venture $10K NFCU Sig Visa $25k Amex Zync NPSL Delta Gold $18k BCE $2k Citi Simplicity $5450 Priority Select Visa 5.9K Amazon Visa 4k CSP 5k
Starting Score: 5/2010 550-ish
Current Score: 6/20/2013 TU 800 6/20/2013 EQ 770 6/20/2013 EX 775
Goal Score: 800 accross the board
New Member
chrmnxpnoy
Posts: 2
Registered: ‎06-17-2013

Re: Can a dealer not accept a credit union auto loan check?

The creditor-seller on my simple finance charge contract is the dealer themselves.  

The thing is I just recieved the auto loan check from PenFed for $20k today.  

I am just worried that my dealer won't accept the auto loan PenFed check for the $20k I owe them and instead force me to pay them via their 60 month installment fees.

As I said in my earlier post, I am able to prepay the dealer's loan at any time and will have to pay the accrued interest.

 

Am I just being paranoid over nothing?  It matters, this is my first car purchase.

 

Regards,

Brian

Established Contributor
Cageym
Posts: 507
Registered: ‎07-31-2012

Re: Can a dealer not accept a credit union auto loan check?

If you can get up there and pay it off before there is to much interest, and they accept your check you're fine. No sense in worrying until there actually is an issue.


What's in my wallet: Cap1 Venture $10K NFCU Sig Visa $25k Amex Zync NPSL Delta Gold $18k BCE $2k Citi Simplicity $5450 Priority Select Visa 5.9K Amazon Visa 4k CSP 5k
Starting Score: 5/2010 550-ish
Current Score: 6/20/2013 TU 800 6/20/2013 EQ 770 6/20/2013 EX 775
Goal Score: 800 accross the board
Member
C7LT1
Posts: 19
Registered: ‎05-14-2013

Re: Can a dealer not accept a credit union auto loan check?

I would take the check to the dealer for them to check and pay whatever interest you owe. Think the interest payment as a penlty for your mistake and never make that one again. Most people are excited to drive off the lot but make sure in doing so it is not going to cause you any hassle down the road.

 

One time I almost walked away from a deal because the dealer insisted I need to fill out a credit application when I had a check in hand. Needless to say I did not sign a credit app and I paid for the car with my check.

Contributor
Hoya08
Posts: 98
Registered: ‎06-05-2013

Re: Can a dealer not accept a credit union auto loan check?

[ Edited ]

That's very strange.  There's no reason why you need to take the dealer-loan since they know you financing in place.  And I would not agree to the loan (with high APR) if it wasn't on the contract.

 

Also, there's no reason why the dealership would not honor the PenFed check, money is money to them unless previous PenFed checks have bounced!  Which is very unlikley.

 

When I purchased my new vehicle 3-years ago, I had a document (not a check) from USAA to give to the dealer; the dealer fils out the document to receive the funds.  However, I did leave a personal check for the full-amount of the vehicle "in-case" the USAA check was not authorized.  Needless to say, the dealership did not cash my personal check nor was I asked to sign any dealership financing until the USAA note cleared.

Regular Contributor
cutemarty1
Posts: 197
Registered: ‎02-03-2011

Re: Can a dealer not accept a credit union auto loan check?


chrmnxpnoy wrote:

Hello,

 

I recently purchased a vehicle on Friday and I think I made a grave mistake.  I have done all my homework and was preapproved for a autoloan from PenFed for $20k.  Now here is my mistake.  PenFed does not send out the check until I have the VIN# of the vehicle.  Unfortunately, I found the car that I wanted about 100 miles away for my home and was too excited to bring it home that same day.  I think the dealer noticed this and took advantage by saying that they would not release the car to me unless I signed up for a "Simple Interest Loan"  with them or if I came back to their dealership with the PenFed check already cashed and cleared.  Unfortunately, I did not want to drive back 100 miles away and wait a few days for the check to clear so I signed up for their simple interest loan.  The finance guy told me I am able to pre-payoff their simple interest loan in full within the first month without penalty with my PenFed check and would also have to pay their inflated APR accured interest for that month.  

 

Now the thing that worries me is if there is any chance that the dealer will refuse to accept the PenFed auto loan check and refuse to cash it.  Is this possible?  I mean, the check is already money in their bank.  I am afraid of them not accepting it because the APR on the dealer's loan is quite high at 4.9% as supposed to my bank's PenFed's 0.74%.  That's practically money in their bank for the next 60 months.  Please send me your opinions.  I am worried :smileysad:

 

Regards,

Brian


Just financed my RAV4 2013 via PENFED.  What they (TOYOTA) offered was a finance option wherein I was given 1 week to provide them with PENFED's check or I would start paying interest to Toyota Financial's in-house loan rate of 1.99% (I guess same as the simple interest loan you are about to sign too).  I just gave them the downpayment that day and drove home with the car with the loan doc signed.  I guess you can just overnight or send them PENFED's check to your finance manager at the dealer once you get it  to make sure it won't get lost in the mail.  I guess there is no need to worry. It was the first time i financed too through a third-party bank such as PENFED which could save us money in the long run.

 

PENFED gave me 1.74 on 72 months as in their prom website.

My TL : BCE AMEX 24k / Home Depot 16.5 K / CSP 16.5k / Barclays Arrival MC 15k / BoA 123 14k / Citi World 12.8k / CU Visa 11k/ Nordstrom Visa 10K / Freedom 10k / Citi AA 9.1k / Discover 9k / Macy's Store 3K / Best buy 2.4K / BBRZ Gold 1.4K / AE 1.4k / Express 1.4K/

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+