Dealer Trade-In Payoff

[inmytree2003]

I traded in my Mazda 3 with a remaining balance of $1850.00 to go towards the down payment on a 13' Chevy Cruze. Dealer took the trade and gave me an additional $1k in incentive cash to go towards the down and "help with financing". A week ago, I logged onto the Mazda's auto loan account with Chase and it still showed a balance due, as well as an increase in the amount of interest due as I traded the car on 2/24 and the last payment was made on 2/13 by me.

So I contacted the sales manager (who seemed very concerned after we completed the sale about a survey we would get from GM) and let him know that Chase had not gotten the payoff. He said he'd check on it, and later told me it was taken care of.

Today I get a call from Chase demanding payment of course, as I am 26 days past due. I call the dealership again, and he says the check was sent out Friday and I should give it a few days.

So my concern is that the late pay may hit my credit if Chase doesn't process the check in time, even though I've notified them of the situation. If so, what is the best way to get the late scrubbed?

[richard1972]

You should still make your regular payment to Mazda/Chase to protect yourself from the 30 day late mark. Mazda/Chase will refund you any credit balance once they receive the payoff from the dealer. I have trusted so many dealers over the years to send in the payoff check on time, and they never did, and always promised that it was mailed, bla bla, that I learned the hard way 4 years ago, to just keep making the regular payments until the payoff payment is posted.

 

It will be hard to get the 30 day late mark removed from your report if you allow it to get that far, as Chase is going to tell you the same thing I just told you. Until the payoff payment is received, it is still your responsibility to make sure all payments are made on time.

 

Also keep in mind, that when Chase gives you a payoff amount, it is only valid for a certain number of days, after which more interest will be added and the payoff amount will change. So even with the dealer sending the payoff check for the amount you listed, you may still owe more than that amount due to new interest.

[MarvBear]

I've never worked for a dealer that had to kite funds. We make the payoffs as the deals are turned into the accounting office.

[inmytree2003]

Payoff finally posted two days prior to the 30 day reporting timeframe. I'm not sure why the delay but the sales manager claimed it happened all the time. I was not very friendly when filling out GM's satisfaction survey.

[sts7049]

as you should be! it's unfortunate but it does happen sometimes.

[MarvBear]

Payoff finally posted two days prior to the 30 day reporting timeframe. I'm not sure why the delay but the sales manager claimed it happened all the time. I was not very friendly when filling out GM's satisfaction survey.

 

Although no one will admit to it, you just got yourself blacklisted.

[canondvd]

 

Payoff finally posted two days prior to the 30 day reporting timeframe. I'm not sure why the delay but the sales manager claimed it happened all the time. I was not very friendly when filling out GM's satisfaction survey.

 

Although no one will admit to it, you just got yourself blacklisted.

 

Marv, can you elaborate on that? Blacklisted by the dealership?

[KGWVU]

Payoff finally posted two days prior to the 30 day reporting timeframe. I'm not sure why the delay but the sales manager claimed it happened all the time. I was not very friendly when filling out GM's satisfaction survey.

 

 

Although no one will admit to it, you just got yourself blacklisted.

 

Marv, can you elaborate on that? Blacklisted by the dealership?

 

+1