What are the limitations to report to credit bureaus ? How do I make my financing company report ?

[AlwaysUp]

Hi everyone,

I need help, I'm a very very very very bad situation. I got approved for a financing through a shady company that works with my dealer and after a month, they told me that they don't report to the credit bureaus, even though they said they do when I asked while signing the paperwork. I went back to my dealer and they told me that this company used to report but not anymore. The finance guy told me that he'll do his best to make them report but he's not very sure about it because he believes that they need to report everyone not only one account if they wish to start reporting.

So my question is : What is the requirements for a financing company to report an installement loan ? Can they report only my account ? Does it cost money ? Can I make them report ? Any tips ?

I need them to report because otherwise I'll be a first time buyer forever. Sorry for my grammar, new to America.

Thanks

[pizzadude]

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@AlwaysUp wrote:

Hi everyone,

I need help, I'm a very very very very bad situation. I got approved for a financing through a shady company that works with my dealer and after a month, they told me that they don't report to the credit bureaus, even though they said they do when I asked while signing the paperwork. I went back to my dealer and they told me that this company used to report but not anymore. The finance guy told me that he'll do his best to make them report but he's not very sure about it because he believes that they need to report everyone not only one account if they wish to start reporting.

So my question is : What is the requirements for a financing company to report an installement loan ? Can they report only my account ? Does it cost money ? Can I make them report ? Any tips ?

I need them to report because otherwise I'll be a first time buyer forever. Sorry for my grammar, new to America.

Thanks

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Unfortunately the decision to report is totally up to each creditor.   They can choose to report to 1, 2, 3 or none of the CRAs, and yes it does cost them money to report to the CRAs.

Maybe you could work out a refinance with another company ?

[AlwaysUp]

I can't refinance because I'm a first time buyer and they granted me a loan of 44K. All the others banks gave me 34K max...

[Chris123nTx]

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@AlwaysUp wrote:

I can't refinance because I'm a first time buyer and they granted me a loan of 44K. All the others banks gave me 34K max...

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Ouch. That must be the reason why you ended up with that financing company. If everyone else told you 34k, then having one place as an outlier means that they are going to be taking on rsik that no one else would touch. How much did they hit you up for on the financing? Interest rate i mean

[annielorie]

Id contact the AG of your state immediately Sounds like the bait and switch. Yes we report sign here then no we dont report. If they did this so soon imagine whats gonna happen with this financer down the road.  34k is more than ample to purchase not only a good but nice car Quick run for your life!!! Get out of this at all costs its not going to help you and next the interest rate is going to be changed. They dont report ot CRA my ___ If you stop paying them they will surely.  COntact your AG your young and they are trying to take advantage of you.  Your first car loan should be reported otherwise you will be in no better shape credit wise in a few years and still be at square one!

[AlwaysUp]

I've got a 9,99% interest rate though. I already have the car, I can't go back.. There is no way I can force them to report by complaining to someone in my state or even suing them ?

[AZHeather]

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@AlwaysUp wrote:

I've got a 9,99% interest rate though. I already have the car, I can't go back.. There is no way I can force them to report by complaining to someone in my state or even suing them ?

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Have you read through your contract?  Does it specifically state any where in it that your payments will be reported to a credit bureau?  If so, I would write a letter to the BBB with a copy of the contract and cc the finance company.  If the contract does not state that, then they are under no obligation to report, despite what you were told.  Yes, them saying that it would be reported could be construed as an oral contract, but good luck proving it.

[Revelate]

They are under no obligation to report legally under Federal law, and almost certainly not any State-specific law either for that matter.

There is nothing you can do, and any letter you write will fall on deaf ears. . This isn't bait and switch, this is no different than any CSR offering any information that isn't as accurate as it really should be (see the whole hard vs. soft inquiry issue that routinely comes up on the Credit Cards board).  If it's not spelled out in the contract you signed (it's 99.99% or higher won't be) then you're SOL on it.

Just pay the car down as planned, and go refinance it when possible.  That gets you over the "first time buyer" hurdle for future car purchases later.  You don't really have any other recourse on this one unfortunately.

[drkaje]

FWIW,

A lot of people (with thicker files) would kill for an unreported tradeline of $44K.

[Revelate]

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@drkaje wrote:

FWIW,

A lot of people (with thicker files) would kill for an unreported tradeline of $44K.

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Then they shouldn't be driving a 44K+ car.  Just sayin