Question about potential late payment

Anonymous · ‎08-13-2016

This hasn't reported yet but I want to make sure I'm prepared in case it happens.

So on Jan 25th I leased a car through VW services, everything OK made my down payment signed paper work etc. My next payment was due on August 9th.

By the 2nd week of July I hadn’t receive my welcome kit nor payment information so I decided to call the dealership which advised to call VW leasing company directly.

So I called them and they tell me that my account is not setup yet and to call back the next couple days, so I do that and same story for like 5 times.

Fast forward to the first week of August I get a little concerned that If I don't get my payment information I could take a hit on my credit, so I call again they tell me the same thing and this time I ask to speak to a manager, the manager said something happened with the contract and I need to sign paperwork again , that's the reason why I don't have an account yet, so I call the dealership ask for a manager as well and they said that yes that's what happened because I used my 2 last names when signing the paperwork and it was to long for their system so nothing got processed ! So I come to the dealership and redo the paper work with 1 last name only and express my concern about my due date being in the couple dates when I have no account yet, the finance manager asks me to give them a check with the monthly payment however this payment is to the order of the dealership and not VW leasing, he said VW would automatically deduct that amount from their funding and apply the payment on my account. Check got cashed at the next so I felt OK, anyways I kept calling VW leasing for the next few days and my account was not setup yet, however I called today (August 13th) and this time I was able to access my account through the automated system using my SSN, I checked payment information and to my surprise my account is past due!!!! I could not believe it ! Of course I immediately made a payment though their automated system but very concerned about a hit of my report just because this people are completely incompetent.

Like the tittle says, nothing has been reported yet but I want to prepare myself in case they do, do I have any resource? OF course I’m calling the dealership today to find out what happened with the payment and with my money.

Sorry for the long story, looking to hear for similar experiences and the outcome, thank you all.

RobertEG · ‎08-13-2016

Being late is not itself basis for reporting to a CRA.

The late must extend at least 30 days past the billing due date to then become reportable to a CRA.

That requirement is clearly set forth in the standard credit reporting manual used by each of the big-3 CRAs.

Even if you had legitmately been late on a payment with a due date of 8/9/2011, it would not have become a reportable 30-late until 9/8/2011.

They should not report any lates.

If they do, then you can dispute.

In your case, the original due date was not based on the final executed account agreement, so the billing due date of 8/9/2011 would not even stand.

takeshi74 · ‎08-13-2016

@Anonymous wrote:
Sorry for the long story, looking to hear for similar experiences and the outcome, thank you all.

As stated above, it's generally 30+ that matters. Don't focus so much on the details that you overlook the factors that really matter. You don't need others with similiar expeirences and outcomes.