topic Re: Deferred payments due to COVID-19 in Auto Loans

Deferred payments due to COVID-19

Noctilum — Fri, 27 Mar 2020 02:48:38 GMT

Many auto lenders are doing deferred payments during the COVID-19 crisis. I am curious if anyone has gone through the process yet and can tell what it was like? We have a loan with Chrysler Capital and are debating it. My wife has been out of work for a couple of weeks so far. I'm sure I don't have much longer before I am so I'm not sure if I should head it off or wait for it to actually happen.

Re: Deferred payments due to COVID-19

StriderM99 — Tue, 31 Mar 2020 19:45:20 GMT

I'm curious about this as well.

I have a lease through Ford. I just went to their website to see what they're saying. At first glance, I thought it was nice- on their main page they have a link to click to "Extend your Payments." (I thought it was a smart/curtious/streamlined approach to avoid the long phone call wait time you'd deal with if you called instead).

Then I clicked the link.

I can deffer one month's payment for a fee of $149.98. 2 months' fee costs $299.96!

I didn't proceed online. I hope that's just a "default" option they've always offered, and they might be a little more sympathetic towards the real situation going on. I will try calling in person later on to see if that fee can be waived or adjusted.

UPDATE EDIT: I called Ford. They told me because it's a lease, there's usually a fee. 30% of your monthly payment. I was put on hold while the rep could ask her supervisor if the fee could be waived. They said no. Fee stands.

This is my third lease with Ford. You'd think customer appreciation would be extended a little bit to their returning customers, regardless of them being a lesse or purchaser. I'll keep this in mind when my current lease is up. I may look elsewhere.

Re: Deferred payments due to COVID-19

Anonymous — Sat, 28 Mar 2020 22:07:44 GMT

We took advantage of it with Capital One Auto. The process was streamlined and simple. Logged in, clicked on the extension option. You choose the amount of payments (1 or 2) to defer. Submit it. Done.

Re: Deferred payments due to COVID-19

StriderM99 — Sun, 29 Mar 2020 23:22:46 GMT

I'm curious, did Capital One have a fee like Ford did?

Re: Deferred payments due to COVID-19

Duke_Nukem — Mon, 30 Mar 2020 01:39:07 GMT

CapOne didn't charge a fee for deferring, and as @sassynycgirl stated it was streamlined and rather easy!

If anyone is interested on the process, refer to the post linked below. Thanks again to @sassynycgirl for pointing out the link on CapOne's site!

https://ficoforums.myfico.com/t5/Credit-Cards/My-Creditor-is-Helping-Me-Thread-TeamMyFICO/m-p/5964290/highlight/true#M1708357

Anybody heard from Wells Fargo Auto if they have any programs due to the COVID-19?

Re: Deferred payments due to COVID-19

Anonymous — Tue, 07 Apr 2020 03:52:06 GMT

Chase Mazda Capital lease will defer the lease payment for 3 months with NO FEES , my situation it was simple click on secure message center and the 3 payments moved toward end of the lease

Re: Deferred payments due to COVID-19

Brian_Earl_Spilner — Tue, 07 Apr 2020 04:05:55 GMT

@Anonymous wrote:
Chase Mazda Capital lease will defer the lease payment for 3 months with NO FEES , my situation it was simple click on secure message center and the 3 payments moved toward end of the lease

You got lucky. I waited on hold for 2 hours with Mazda capital before they transferred me to another department. Took 5 mins at that point. Skipped 3 months, no fees, no interest. This was before they announced anything though.

Re: Deferred payments due to COVID-19

Anonymous — Tue, 07 Apr 2020 17:29:05 GMT

I have an auto loan with Wells Fargo and waited on line for over 40mins. I was approved for a 3 month deferrment loan extention under thier disaster extension. They are still charging interest which will be paid first when I restart payments. Iv been able to get my credit score up from 580 to 720 avereage in last year and will be trading in my current car for a new one this month. I should get a great deal and possibly an 84month 0/0 Interest rate with 90day deferred payment. I'll keep updated on this thread.

Re: Deferred payments due to COVID-19

Anonymous — Wed, 08 Apr 2020 04:09:13 GMT

BMW Financial is allowing up to 2 months of deferred payments (due to Covid-19). Those 2 deferred payments are IN ADDITION to the 3 normally allowed deferred payments in a 12 month rolling calendar year.

Loans with BMW Financial are Simple Interest so for each deferred payment, the interest does continue to accrue throughout the month(s) that are deferred.

I did this today and it was a super easy process.

FYI, if you do it online (which they are reccomending) it takes a lot longer. It's easier to just call someone and they can do it in about 5 minutes.

Hope this helps someone else like it did me.

Re: Deferred payments due to COVID-19

Anonymous — Wed, 08 Apr 2020 19:05:59 GMT

Honda Financial.

Took about 35 minutes in the middle of the day. Two month deferrment but interest will accrue, no fees.

Re: Deferred payments due to COVID-19

coreyb80 — Thu, 09 Apr 2020 13:21:45 GMT

I received 2 months with Nissan. Quick phone call as he took some notes and the next morning I woke up to an approved request.

Re: Deferred payments due to COVID-19

joy1979 — Fri, 10 Apr 2020 00:05:42 GMT

I received a deferred payment for April and May from US Bank. No fees but interest will still accrue. The missed payments will be added to the end of the loan, which will extend it by 2 months. It was an easy process. Just a quick phone call with a verbal agreement to the terms offered.

Re: Deferred payments due to COVID-19

Anonymous — Fri, 17 Apr 2020 03:05:59 GMT

Does anyone know if the deferral will negatively impact ur Fico. I have seen horror stories of people complaining on Facebook about it but I think something else had to contribute to that. Ally swears it won't be a negative credit situation for me.

Re: Deferred payments due to COVID-19

Duke_Nukem — Fri, 17 Apr 2020 12:21:59 GMT

@Anonymous wrote:
Does anyone know if the deferral will negatively impact ur Fico. I have seen horror stories of people complaining on Facebook about it but I think something else had to contribute to that. Ally swears it won't be a negative credit situation for me.

I used CapOne's offer to delay our auto loan by 2 months. Received docs from them that stated they will just add those 2 months to the end of our loan (pushing the payoff date out be 2 months). The next payment due date changed on our account, effectively making our loan appear as if it was paid in advance.

CapOne updated to the CRA's and my latest Credit Karma report shows no negative from this deferment. The loan term duration went from 60 months to 62 months. Payment status still shows as "Current".

Not sure if all banks would handle it the same way, and this was the only account we deferred. CapOne has at least performed excellent service concerning deferment, hopefully others will as well.

Re: Deferred payments due to COVID-19

Anonymous — Fri, 17 Apr 2020 17:10:22 GMT

@Anonymous wrote:
Does anyone know if the deferral will negatively impact ur Fico. I have seen horror stories of people complaining on Facebook about it but I think something else had to contribute to that. Ally swears it won't be a negative credit situation for me.

If you keep a copy of the signed contract of deferred payments between the two parties, i dont see why this would be an issue. It should and would state that the payment from X month has been moved to XX month.

That is sufficient evidence to have any reported delinquincies by the lenders, to the bureaus, removed, per the FCRA.

Re: Deferred payments due to COVID-19

Gladius — Fri, 17 Apr 2020 18:04:29 GMT

So are these auto companies asking for "proof of financial burden" due to COVID-19 or are they just granting deferrments to anyone who asks? I don't need one, was just wondering.

Re: Deferred payments due to COVID-19

Anonymous — Fri, 17 Apr 2020 18:06:10 GMT

@Gladius wrote:
So are these auto companies asking for "proof of financial burden" due to COVID-19 or are they just granting deferrments to anyone who asks? I don't need one, was just wondering.

Granting to all. Just have to say it's due to Covid-19.

Re: Deferred payments due to COVID-19

Anonymous — Sat, 25 Apr 2020 04:29:52 GMT

I called Bridgecrest this morning to tell them my hours were cut and ask for a deferment. The customer service rep talked me out of the deferment. She was very skilled. I am sure she will receives some sort of credit for the number of people she talks out of deferring.

Re: Deferred payments due to COVID-19

Anonymous — Wed, 10 Jun 2020 05:41:39 GMT

@Anonymous wrote:
Does anyone know if the deferral will negatively impact ur Fico. I have seen horror stories of people complaining on Facebook about it but I think something else had to contribute to that. Ally swears it won't be a negative credit situation for me.

While it doesnt affect my scoring. I can confirm that while i am shoping for a new loan i was "automatically denied" because i had an auto loan in deferment. When they asked why it was in deferment, i simple told them .. "because they offered it and it allowed e to pay off higher interest credit cards". Now my new loan wont go thbrough till they update the terms and remove the "deferred" comment.

So although my score wasnt impacted, my ability to borrow was because of other lenders "screening process"