Car in 'Repo' status

Hi vic3,

This is precisely why I think everything should be in writing. One agent tells you ok, the other says no way. :roll:

I would say to write them immediately (certified). Explain why you were in arrears and how you plan on getting the payments current. You should do that ASAP. The market is bad, they will be glad you are making the effort to become current.

Oh, and any time you send a certified letter to a creditor, you should ALWAYS copy it and attach the postal receipt to the copy. When you get the signature card back, attach that with the letter too.

Since you are in repo status, I would spend the extra money and send that letter next day air. Very soon you will be able to breathe and openly drive your car without having to worry about it.

Hope this helps. Please keep us updated.

chrys

In most situations, paying the "past-due" balance and bringing the account current will stop any pending repossession. There may be questions as to what makes up the "past-due balance" -- ie if you have a lot of previous late charges, they may require all those late charges be paid too; or else some companies may let you get by just paying just the amount of actual payments past-due, and save the LTC's for the end of the loan.

In certain/rare situations, if they have deemed themselves insecure and the account is in default, they can "accelerate" the loan balance and make all future payments immediately due and payable. In that case you don't have an option to pay just what's past-due -- you have to pay off the entire loan to stop a repo. Like I said, this is usually rare for a finance company to do -- there also may be state laws regarding early termination that could prevent them from accelerating your loan balance.

Do as Chrys says and send them a letter. Address your delinquency and the reason for it, and how/when you'll take care of it. Address the need for clarification between their agents. Ask them to respond in writing, with the exact amount owed to cure the default.