GMAC

[Anonymous]

Hi All! I have a question regarding GMAC. I had a car financed with them..I thought it was all paid off in 2009. However, I bought/financed another car this past month and traded it the old car. I called GMAC/Ally and asked them for the title. They said they would fax me the lien release paperwork within 24-48 hours. So, I told the dealership the same thing and that I would send it to them as soon as I had it. They told me that twice and when I called a third time when still not receiving it they stated there were late fees from 2009 of 199.00 that need to be paid before releasing it. She reduced the amount to 159.

GMAC is reporting on Equifax and Transunion:

Date opened July 2003

Status update Aug 2009

Not Updated; Closed

Balance 0

Not more than 2 payments past due, 30 days past due

8x 30 day lates from 2008-2009.

I really need to get the lien release paperwork for the dealership, but I'm worried about if it will update the reporting or have any negative effect on the reporting if I pay them for the paperwork? 

[Anonymous]

They are already showing a balance of $0, so I don't see why they would update.

[RobertEG]

They have, in effect, told you that their current reporting of $0 balance is inaccurate.

They may or may not update based on any communications with you to show what they are now stating to be the new, accurate balance.

Since you are apparently willing to pay, as soon as you remit the remaining amount, the debt will again become $0.

Paying will not affect the eventual exclusion of the reported derogs, as their exclusion dates are based only on date of delinquency plus 7 years, and not upon payment, non-payment, etc.

I see no effect on your credit reporting/scoring based on paying the debt now and clearing it within their internal books.

It is already reporting as clear in your CR.