Auto Loan Refinance

[Anonymous]

I bought a Honda CRV 2009 in January 2009 and financed it JP Morgan chase. I then refinanced the loan with a local credit union called Summit credit union on March 9. The Summit credit union said that they woudl issue a check and mail it to Chase to pay off the loan at Chase. On March 31, I called Summit and informed that chase never received the check and my payment for the next month is due.

Summit credit union says that the payment is due with them also, that I have to pay to them also as they have issued the loan. They say that the check might have got lost in mail and its not their fault. So now I have two auto loans and I have to pay interest on both. I feel like I am being ripped off here. Any help isgreatly appreciated!!

[moondog7324]

I would be on the phone everyhour with Summit- demanding they reslove this. You are likely going to get hit with a 30 day late because of their mistake.

[Anonymous]

So am I suppoed to pay to both the banks now? I want to go ahead and cancel my loan application with Summit. Will this effect my score in any way?

Thanks!!

[itsjustmeibe]

If you got a good rate for the refinance, I wouldn't cancel it. Besides, it doesn't sound like you can cancel anyway since it already funded. If you can, pay both loans to protect your credit. You will get refunded for any overpayment from Chase. Hopefully the payoff amount covered at least through the month.

[Anonymous]

A similiar situation happened to me before. The bank that my ex-gf used to refinance her car was really slow in sending the check to Toyota Financial Services. We had a payment due in 10 days, and the new loan payment is kicking soon too. I went ahead to sumbit a payment to TFS. Weeks later, TFS has gotten the check, and fully refunded the payment I submitted earlier.

[Anonymous]

Request the original check be cancelled and reissued.  Get CU in communication directly with bank loan dept.

The loan has not been funded if the check is not cashed.