Sue Car dealership for two loans in my name [ruined credit]?

Question

I bought a car through a car dealership and got a loan as usual thru the dealer. Happy with my new car I left the dealer. About 2 months later I receive a phone call from another bank asking me why i haven't paid my bill and they are sending someone to repossess my car. Not aware what was going on, I called the dealer and they did not call me back for days. When they did, they had no resolution.

To make a long story short, I had 2 loans in my name for the same car. After about 6 - 9 months of badgering with the dealer to sort this out, they tried to pay this other loan off which they took out in my name. This error has ruined my credit score. The problem is now I get a call [1 year later] from the same loan provider asking me why I have not paid the balance. There is still a balance on the loan which was taken out in my name incorrectly. I have tried to call the dealership but nothing.

Can I sue? Any help appreciated. What type of lawyer would i call if i can sue?

Thank you for all your replies! Thanks alot!

Answer 1

OK, time to clean up the bad answers again...

Please do not waste your time with the Attorney Generals office, they will not help you. You will get a polite letter from they saying there is nothing they can do, and to consult an attorney as this is a civil matter.

You certainly can sue, and you have a good case. But you can only sue for damages. How were you damaged? Did you lose a loan? Did this cause you higher interest rates? Before you can sue for damages you need to be able to prove how you were damaged.

You can NOT sue under the Fair Credit Reporting Act at this point, because you have not gone through the notification procedure. If the result of your damages are due to bad credit reporting, you first must prove you attempted to correct the problem.

This MAY be possible if you have anything in writing to the dealer about your attempts to get this fixed. If you don't have anything.....get it NOW!

Read the FCRA, send dispute letters to the credit bureaus (certified mail) and to the dealer. This will start the action of cleaning your credit report.

Notify the bank (again, in writing) that the second loan is false, and that they, too, must remove this from your credit records.

If this isn't resolved within 60 days you now have grounds to sue. You will get $1000 for the FCRA violations, plus court costs and any damages that you can prove.

Read the links below....you may need an attorney qualified in consumer credit to look this over. I don't know the specifics on how the dealer messed up the second loan and that needs to be looked at. Might have more recourse for action there too.

Answer 2

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Answer 3

This is a mistake that the auto dealer's finance manager made and it is their legal responsibility to help you fix the problem and help make reparations to your credit score for any detriments that have come from the second loan. However, you are responsible for any changes in your credit score due to your payment history on the "good" auto loan and all other accounts. If the dealer is non-responsive, then you probably will be better off getting an attorney to represent you. Any general attorney can handle this matter. You will probably achieve a dialogue with the auto dealership simply from having an attorney send them a certified letter. Make sure the dealership helps you remove the loan from your credit history and obligation and that the dealership also pays for any credit repair costs you incur from obtaining proper documentation that the loan was not secured with your consent and filing these documents with the proper people. Also you may have a fee for getting a "rapid re-score" done on your credit afterwards. I am curious to know how the loan was originated and secured without you signing all of the paperwork for the loan. If you didn't sign, it is illegal. This could be fraud, if that is the case.

Answer 4

Just out of curiosity, did you sign 2 loan documents? How did the lender make the check payable? What proof do they have that you received the funds? Have you gone up the chain of command at the lending institution to explain to them what has happened?

If the drop in credit rating has prevented you from accomplishing something financially (buying a home, renting an apartment, getting utilities, etc) or has caused you to have to pay a higher interest rate on other loans, then you may indeed have damages for which you can sue. Also, the car dealership was negligent at best and fraudulent at worst. The attorney will discuss with you the extent of the damages for which you can sue. Separate from this is doing credit repair. You should be able to contact the credit bureau's about a dispute regarding debt while you are working this out. It will be marked on your file while you are working this out. Ask your attorney to help you (when this is resolved) to get this removed from your credit record.

Answer 5

Find out your credit score. Remember, a majority of credit card companies require fico scores in the mid 600's to lower 700's. Just because you were denied, it doesn't mean your credit it terrible. You may not have established a long enough credit history to be approved for that card either. Your car loan should increase your credit score over time as long as you do not make a payment more than 30 days late.

Answer 6

yes. First go to your local authorities and file charges and I'm sure that direct you on what actions to take next. Once this is done, you can submit a copy of the charges filed to all three major credit bureaus.

Answer 7

Talk to a lawyer, and dispute the information on your credit report.

Answer 8

You do not need a lawyer, you need to contact your States attorney generals office what they have done is fraud.

Answer 9

You can do more than sue. This is fraud. I would contact the state's attorney general's office.

Answer 10

Any lawyer in general practice can help you.