Long story made short my friend has a car that he still owes on and hasn't made payments on it in 6-7months. They haven't physically repo"d it b/c they can't get a hold of him. He now has the money to pay up his payments. He is telling me that he can pay up the payments then keep doing his monthly payments on time and it won't effect his credit? No way right? If so how?
2007-01-23 10:48:02 · 6 answers · asked by Electra 1 in Business & Finance ➔ Credit
He is very stupid and is aware that his credit has already been destroyed but I believe he is being mis imformed that if he catches up his payments that in 6 months from now ( with timely monthly payments) that the creditors will report better ratings and within a year he can re finance his car and the bad non payments won't show up b/c he has made consistant monthly payments on time. Oh my I need to help him with some good news. Thank You so much. If there is a creditor out there that can give me some insight that would be awsome or anyone who has done this and came out half way okay.
2007-01-23 15:24:35 · update #1
why would he want to wait a year to refinance. he should talk to the lender and let them know he has the money to get caught up now and ask if they would refinance the loan now to lower the monthly payment so he does not get behind again.
2007-01-28 16:04:19 · answer #1 · answered by luciousgreeneyedlady 5 · 0⤊ 0⤋
Uh, no...he is pretty much screwed. I am surprised they have not found a way to repo the car even though he sounds very elusive. I would imagine that just made things worse. Even though he will catch up to the delinquent payments, chances are the credit company has already reported his late payments - or lack of payments to his credit file where it will most likely sit and haunt him for the next several years.
2007-01-23 18:53:16 · answer #2 · answered by chick33 3 · 0⤊ 0⤋
No way. The car/bank is reporting him as delinquent. If the repo man gets there first he will have a repo on his report too. If he wants to keep the car, he has to pay. That's different than he "can" pay. Tell him to park the car on the street so that the repo man won't have a hard time. And, of course, paying up will still have past delinquency on his credit.
2007-01-23 19:13:48 · answer #3 · answered by R M 2 · 0⤊ 0⤋
First of all, his credit is already affected. If he can pay the balance due and continue to make the payments, he needs to, but the credit is already on the fast track to being really bad. Every 30 days you get hit with a nonpayment, so for 6 months, that is 180 days with no payment, that is REALLY bad on your credit. You need to educate your friend and tell them that by paying all the past due will help him keep his car, but the credit is already affected.
2007-01-23 19:00:51 · answer #4 · answered by BMW BFD 5 · 1⤊ 0⤋
His credit has already been affected (in a negative way) 6 late pays is no good. He will be ok paying his up to date payments but when he does that he will be watched carefully and the moment he is one day late he will wake up to his car being GONE.
2007-01-23 18:55:26 · answer #5 · answered by Anonymous · 1⤊ 0⤋
His credit is DESTROYED, and his scores will plummet. He is lucky it hasnt been repoed yet.
2007-01-23 19:10:39 · answer #6 · answered by roger v 4 · 0⤊ 0⤋