VW Credit charged off Auto loan

[Anonymous]

Hi everyone! I’m new here and I have so many questions... but as a starter I’d like to ask your help/opinion about my worst charged off account which is VW credit just the thought of it gives me nightmares.
I helped my cousin buying a car back in 2012. She kept the account in a great shape for three years without a single late payment up until late 2015 when I temporarily moved overseas. I don’t know what happened but when I returned back I found out that she had moved to a different state and stopped making payments mid 2016 and off course it was repo’d. According to her she claims that she had returned the car to VW but VW claims that it was repo’d!!! Either way I’m the one who’s left with a horrible credit and a $6k extra debt!!!

Original amount was $26k
Amount Charged off $6k

Since it’s under my name I reached out to VW credit tried to explain to them but they were not very cooperative. On August 2017 they reported the account as bad debt/ charged off and I tried to disputed couple of times and each time it’ll come back verified and they’ll reset the date on my report.

What should I dooo

Thank you in advance.

[RobertEG]

Returning the car and having a repo are not mutually exclusive or inconsistent.

A consumer can make a voluntary repo, with the difference being they volutary turned in the vehicle as opposed to the creditor sending a repo agent to take it.  The CRAs  provide codes for repo by type.

The repo laws/regulations of your state control the process, and the final disposition of the net loss.

Usually, the creditor sells the car and must then notify the consumer of the remaining net deficiency after subtraction of their recoup.

If a net loss, they can take it as a charge to profit and loss, and report that to the CRAs as the status.

What specifically did you dispute as being inaccurate in their reporting?

[Anonymous]

Thank you for your reply!

I disputed it as not mine

[bondsandloan]

Did you co-sign the loan or was the loan in just your name? You mention you helped buying your cousin the car.

[Anonymous]

It was just my name

[Anonymous]

Legally the debt is your responsibility. Unless the tradeline is reporting inaccurately, you have no grounds to dispute.

You have a few options..

1. Pay the debt in full. You can then write GW letters to have the account removed.

2. Attempt to settle the debt for a lesser amount. The account will report as paid for less than original balance.

3. Do nothing. Since it's still within the SOL, they can take legal action. This is obviously something you want to avoid.

If not paid or settled, it will continue to suppress your credit for the next several years.

[Anonymous]

If I settled the debt for a lesser amount would I still be able to GWill it later?!

What if I made a payment plan with then because at the moment I can’t pay off the full amount owed is this going to help?!