cancel
Showing results for 
Search instead for 
Did you mean: 

Well get this sleazy move by my auto loan company

tag
ezdriver
Senior Contributor

Well get this sleazy move by my auto loan company

So a recap ...

 

In my ch7 files back in Sept of '12, I did not include my auto loan in the bankruptcy and I also reaffirmed it. The interest rate on this loan is 20%.

 

During the bankruptcy, the trustee declared that he will attempt to seize the car because he believes that the auto loan company [let's call it SF] seems to have not filed a valid lien on the car. My attorney told me that that fight was between the trustee and SF so stay out of it.

 

Fast forward to today ...

 

My local CU called me today to offer me an unsecured card to replace the secured one that I have been using. II told them that I was in the process of buying a home and want to avoid inquiries on my CR but that refinancing the auto loan but I FIRST WANT TO CONSULT MY MORTGAGE LOAN OFFICER. She said that she would use the same report for both and that I should get her the payoff info from SF. She called as I was leaving the office and I told her that my payoff was lower than I thought it would be BUT THAT I HAVE A PROBLEM WITH SF TO WORK OUT BEFORE CONTINUING WITH HER. She told me that my new loan rate would be 5%! That would drop my payment from $560 to $345. I got home and checked my email and found that the CU rep pulled my credit!!! Problem #1 to be dealt with tomorrow.

 

My problem with SF ... they tacked on $5,000 legal fees to my account! They claim that it is for defending their asset in my bankruptcy. My head almost exploded! Problem #2 to be dealt with through my attorney. They want me to pay for something the trustee decided to do all by himself. Arrrrrrrrggggggg! BTW, the trustee abandoned his pursuit once SF produced documentation and indicated that they will fight him in court.

 

Any thoughts?

 

 

Message 1 of 8
7 REPLIES 7
0REDSOX7
Valued Contributor

Re: Well get this sleazy move by my auto loan company

Curious if you've had any resolution to point #1?

BK Discharge 2/11/14

Currently in the garden.
Message 2 of 8
ezdriver
Senior Contributor

Re: Well get this sleazy move by my auto loan company


@0REDSOX7 wrote:

Curious if you've had any resolution to point #1?


Not today because she had left her office when I got there at 4:30 today. I am off from my job tomorrow so I will be in her office at 10:00 am sharp!

 

Re problem #2, my attorney called me today to say that I should ignore what they told me over the phone and let him know if/when I receive any written communication from SF. Also, he said that when I reaffirmed my auto loan in the ch 7 filing, it was for the outstanding principal balance of the loan and nothing else.

Message 3 of 8
0REDSOX7
Valued Contributor

Re: Well get this sleazy move by my auto loan company

Thanks!

 

I am interested to see how they respond.  Can you delete an inquiry from a CR?

BK Discharge 2/11/14

Currently in the garden.
Message 4 of 8
ezdriver
Senior Contributor

Re: Well get this sleazy move by my auto loan company


@0REDSOX7 wrote:

Thanks!

 

I am interested to see how they respond.  Can you delete an inquiry from a CR?


Funny you'd ask that question. The CU rep who pulled my credit told me that she could cancel it and remove the inquiry if I wanted that to be done.

 

She gave me an unsecured CC with a small TL today. The small TL was due to the three other CCs that I got since last Summer [two from First Progress and one from Credit One] along with the one secured CC that I already had with that CU.

 

We're still working on the auto loan refi. My bk attorney is working on the issue of the auto loan comapny adding legal fees to my account when the loan was not even included in the bk. 

Message 5 of 8
ezdriver
Senior Contributor

Re: Well get this sleazy move by my auto loan company

Met with my attorney yesterday to discuss problem #2 [legal fees tacked on to my auto loan account]. He had never seen such a thing in his hundreds of bankruptcy cases. He is researching and I expect to hear back from him in a few days.

 

Has anyone here ever seen such a thing?

Message 6 of 8
StartingOver10
Moderator Emerita

Re: Well get this sleazy move by my auto loan company

EZ, I have seen it with mortgage TL's in BK's all the time, but not car deals. 

Message 7 of 8
ezdriver
Senior Contributor

Re: Well get this sleazy move by my auto loan company


@StartingOver10 wrote:

EZ, I have seen it with mortgage TL's in BK's all the time, but not car deals. 


What I'm trying to figure out is if my reaffirmation of the debt legally covers any additional fees that the auto loan comapny claims they have a right to charge under the finance agreement. Given that the reaffirmation agreement required total liability to be listed along with disposable income to make the payments without causing a hardship to the bankruptcy applicant. If they had put those fees on the agreement, the trustee would never have approved the agreement. I told my attorney that my position is that the auto loan company knew that and deliberately did not make anyone aware of the charges they planned to add to my account. In fact, if I had not requested a payoff, I would not have known about the additional charges until all the normal payments were made and then they still would not have released the lien on the auto. Alternatively, the trustee could have made the decision to disallow the charges had he known about them at the time he approved the agreement.

 

Are there any bankruptcy attorneys in this forum?

Message 8 of 8
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.