Bank Screwed Up Car Payments!?
My boyfriend a couple months back paid his car payment for the next four months. He is certain he specified that it was to go towards the balance, not the principle. Now here he is, car repo'ed, because the bank placed the extra money to the principle. He called them and told them that he requested that it was to go to the balance. They won't change it and now he is carless and owes 2 months worth of car payments and the tow. What should he do?
Comments
Sorry to say this but if he didn't get the car company to send him a letter stating that then he will have to catch up on payments and tow. Hopefully he can provide proof
Your boyfriend just made a large one-time payment rather than paying for the next 4 payments. That's how most banks do it. I suppose he ignored the statements he received showing he was past due?
He needs to pay what they're asking if he wants the car back.
Generally, with a loan a payment is expected every month. If extra is paid into the balance one month, a full payment is still expected next month.
Your boyfriend needs to learn how to read a contract and not to make assumptions.