Strong Armed by Td Auto Finance
Here is my story.
On August 18, 2010 I purchased a 2010 Dodge Ram from a reputable dealer in Regina, Sask. Canada.
I was awarded a loan contract through TD Auto Finance for 84 months at 2.75% interest. I began my payments the following month. I made 18 payments on time. On March 8, 2012 the truck was destroyed in an accident.
I continued to make the March payment while I wrangled with insurance to receive the highest possible payout for the truck. My insurance payed out 30,500 plus applicable taxes. At the time I still owed TD Auto Finance 43,000. With the insurance payout I could have replaced the 2010 truck with a 2011 truck and continued my payments.
TD Auto Finance said NO. I had to send them the 30,500 I received from my insurance payout and reapply for a new loan to purchase the new truck and cover the remaining balance of the previous loan. WTF. I reapplied and was told that I must put 5000 down and take the new loan over 96 months at a 6% interest.
This would have allowed TD Auto Finance to earn triple the original amount for interest. Unbelievable. I tried to refuse them and they began threatening me. They want the rest of the 12,000 I owe them or they will take legal action.
Possibly even puting a lean on my house! What gives them the right? All I wanted was to replace the truck but they didnt want to work with me. I want to fight them over this but the best I could achieve was a cash settlement at 60 cents on the dollar.
That means I still have to borrow 7500 to pay them out for a truck I no longer have.
I wish I could find someone to help me fight TD Auto Finance on this! Thanks for letting me vent.
Monetary Loss: $7500.
Location: Regina, Saskatchewan
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Comments
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Of course the 30,500 had to be paid to TD. They are listed as the loss payee on the insurance policy. If insurance proceeds are not sufficient to payoff the vehicle, the borrower is responsible as there is a CONTRACT to pay the agreed upon amount.
Ever heard of gap insurance?
This is what happens when you buy an expensive vehicle and then agree to a seven year loan. Your destroyed vehicle was not worth what you still owed on it.
Thus, you do owe the difference. I see alot of people taking loans for over three years on a vehicle. Not wise. Not wise at all.
You can take your chances with the bad credit you will get by not paying off your loan amount, or go with what they are offering. Your choice. Next time you want a vehicle, either pay for it in cash or no longer than three years. If you are unable to do that, then you might consider a cheaper vehicle.
Even a used one. Something you can afford, in other words.
lol You must be one of those arrogant sumsofbeeches that work for that company.
Or he is an intelligent person offering sound financial advice. Can't blaming everyone else for your own mistakes/problems