<blush> Thank you! Isn't lawdog nice? There are some real estate and mortgage people here who can probably answer your question for sure. I know that if it is being actively pursued as a collection, you can't get a mortgage without paying it. A charge-off after several years, like yours may not prevent it, but would likely afftect your rate. But perhaps the professionals could kick in an opinion. Or you could start a separate thread and request help from mortgage people, since they might not be following this one.
My hubby had almost the same problem, although the car he bought fell under the lemon law and was returned to the dealer, the dealer was required to pay the auto loan for this sh&tbox. Well of course he didn't. 3 companies were trying to collect on it. The ALL had changed the acct numbers as well as the start date, however they ALL reported it as a charge off. He disputed it as not being his, all 3 were taken off. I'm not positive but I think it can only be a chrage-off if it is a credit card. When it involves a car it is a repossession. A house...foreclosure. Can't foreclose a car, repo a credit card or charge off a house, make sense. Notice I said THINK though... KHM
KHM, When my dayghter totaled my new car, the insurance didn't pay the entire amount owed, due to the depreciation of being driven off the lot. The amount left over, which I refused to pay was listed as a charge-off.
Great! Yes, I did that too. Made the kid buy his own car. Then he screwed up the motor and now he has to buy it all over again. Cost him as much or more than the car did in the first place to fix what he messed up by being careless and pulling dumb stunts and they gotta learn somehow.
I hear you! Mine got a new car in 98, and has decided it no longer suits her taste. After three years of payment and only two to go, I can't see her trading it in and starting over. She still has at least three years of college to go, and I think it would be nice if she didn't have to work on the side to make car payments when she'd in Grad school. After graduation, THEN go get the car you want! By then it will be something different than what she wants now anyway. I might as well talk to a brick wall.
I'm glad you asked Mr. Brown. It was a great question indeed. I'm going try to phrase my answer in a way that I hope you will appreciate and understand. Lenders are always looking for ways to scr*w the people out of more money. If it isn't one thing then it's another. Most people going into a mortgage office have no idea that derogatories on their credit will cause them great misery and problems. Since the mortgage people like to play around to the max they invent every way possible to increase interest rates on the people. One of those ways is to dig up all the dirt they can and make the people pay off all their old bills. This is a diabolical plan which naturally reduces the amount of money they have for a down payment on the house of their dreams so now having less cash means that the old devil, the mortgage lender can finance a greater portion of the loan, thereby increasing the length of the mortgage and more interest can be earned which again increases the size of the payments as well as the life of the loan. This means that the lender has a much greater chance to default on the loan which gives the lender a chance to repo the house and start the process all over again when he buys the house back at the sheriff's sale for pennies on the dollar. It's the old rip-off game all over again. Your posts indicate to me that you are well familiar with all of that.
Hi Guys, Breeze, yes lawdog is quite interesting!(Thanks for the info). Very good idea to start a new Thread regarding the mortgage.. will do. bbauer, your are absolutely right these tact's does have an effect on loans and their rates, It is all a game, and they are all in it. (Milk the consumer) Ladies, thank so much for your help, will give it a try. Wouldn't you guys agree, that there should be some new standard/laws, in place preventing, this proceedures that bbauer mentioned?.. There's Power in Many!. Let start something!(??)
United we save divided they milk us: There should be a consumers union.If we want to stop getting milked we're going to have to stay out of the barn away from the milking machines!
You are going to love this. 76 yr old male walks in to dealership. Will only talk to my father, owner, no one else. Walks right past secretary into office and sits down. Show my father invoice on a 1999 Chevrolet Corvette, approx $49,xxx at that time. Says he will order the car right now, pay in full with check, for 500.00 over invoice. He was a man my father knew of, a retired Insurance Agent, so he did the deal. Car come in approx 2.5 months later. Man picks up and spends an hour with service department learning 'features'. We always phopne insurance co before customer leaves with car- in this case, it was his son who had taken over his business. Man goes home to 'nap'. Wakes and decides to go for ride. As he pulls out of his driveway is struck by oncoming car. Accident is his fault as he did not stop for oncoming car. Corvette, being fiberglass,is totalled. Man returns to delaership 3 days later requestign a window sticker from the car. Faxes it from the dealership to Insurance 'HQ'. Uses office phone to call them, we hear everything. He demands MSRP as that is the true replacement value of the car. They agree. He does NOT buy another car, and pockets about $3200.00. Life sucks, huh? Breeze is the expert...but I believe you are entitled to the replacemet value fo the car, not it's book value. These numbers can be very different. Anna, it stinks that happened.....but, does your daughter look like Cindy Crawford too? Oh, wait, I'm getting married in 10 days...... Shawn
Nah, most policies state Actual Cash Value. That includes depresiation. Then, of course, we can offer you "gap" insurance to cover the difference...... So when you look at your coverages on your auto policy look for those 3 little letters "ACV" - that's it.
