Question about what's right.... Here's my situation?

Question

I bought a 4 wheeler, and a few months later I decided to sell it because it was just sitting in my garage. My in-laws asked my hubby if they could take over payments, and I said only if they make the payment on time each month. (My mother in law doesn't stay on top of things and they are often late on things.)

They agreed, but 6 out of 10 payments have been made late and I tell my husband to let them know that it is becoming a problem because it is looking bad on my credit, but he won't. He says he doesn't want to start problems, but I am to the point to where I am going to take care of the problem. What should I say and do about this? They act like the late charge isen't a big deal, but it looks bad on me!

I told my husband that I really didn't want them to take over the payments but when he insisted, I told him to make sure all of the payments were not late. I forgot to add that above.

Answer 1

You are in a sticky situation. I really feel for you. I think you should go ahead and take care of the problem yourself. Or, if you don't want to cause any problems, you should go ahead and make the payments yourself to make sure they are made on time. Then when the in-laws make the payment, they will really be paying you back. I wouldn't tell thim this though, because it sounds like they may take advantage of you even more and feel that they can pay you back when it is convenient to them. Or you can do what Tito says, but then you will be out that one payment. That is what I would do. I am a big stickler about my credit and making sure that everything looks good on it.

This is why I tell people to stay out of these types of transactions with anyone, especially family members.

Answer 2

I guess how you feel, and I'm sorry for you.
Fact is : some people don't understand credit rules. Their behavior is really hurting your credit, and next thing you'll know, interest rates on your credit cards will go up.

You have a few options:

1- Ask for the entire amount. They were late 4 times in 10 months, there's no reasons why you should accept that. A company would not, you will not.

2- Call the credit company and the next payment. That way, you'll make sure the loan is always paid on time. DO NOT TELL your in-laws. Just ask them the last payment at the end of the loan.

3- Try to transfer the loan in their name. (They'll have to ask the company).

And to make fun out of them, order free documentation about cleaning up or improving credit and financial aid. Get it mailed to their house, in their names.

Answer 3

You should have gotten this all in writing! (I know, hindsight is 20/20!)

I would say something to the in-laws, because this is your credit they're messing with! Too bad if they get offended. I would also draft up an agreement that the payments are to be made on time, every time, or you have the right to sell it if the payments are made late 3 months in a row. You might need to see a lawyer on that one, but IMO, it's worth it!

Answer 4

Borrowing to friends and relitives many times is not a good thing. 1st i'd look at how long the loan is. You've already gone along with them for 10 months and you owned it for a period longer prior. Lets say you've own it including letting his mom and pop now for say 1 1/2 years and the loan is for a total of 2 year. In this case you might consider just letting it ride or paying it off and letting them pay you back of course it will be late all the time. To go over and physically go over and remove it will cause quiet a family ordeal. You could send a letter into the credit reporting agencies stating the facts of what has taken place. However your other bills should be in top notch condition otherwise it just looks like that's the way you live.

My "X" got a table from her mother and we paid her for it yet she bought it from one of these Rent to own stores. Funny thing is I trusted her and my X to do the right thing and low and behold the rent to own people came looking for there table. In my case the key to this little story is "X" never again!!!

Answer 5

Tito's suggestion may be something to consider. I just want to let you know that late payments are only reflected on your credit report if they're 30 days late. Even if they were charged a late payment fee and it was less than 30 days late, you're report won't reflect it. Good luck. That's a shame.

Answer 6

I would go to their house and take the 4 wheeler back...They have failed to make the payments on time and that is killing your credit score. Tell them if they want to buy it from you they can get their own financing. Take a copy of your credit report to show them how it is messing things up. It is better to have it sitting in your garage untouched then haveing them play with it and ruin your credit.

I would leave your husband out of this though, it is hard enough on him to have split loyalties...

Answer 7

Your husband should talk to them, but if he refuses you're going to have to do it. Tell them that you are going to start making the payments and that they should pay you back every month. Tell them your credit score is important to you and this is a way to protect it while still allowing them to keep the 4 wheeler.

Edit to say: Tito's answer was better than mine. If you follow his suggestion you won't even have to talk to them!

Answer 8

The problem is, that it isn't their problem. Some people feel if it doesn't affect them directly it is of less importance. By all means you should voice the situation. There are a great deal of things in life that depend on your credit score.You have the right to keep yours clean. Inform them that you are not starting a problem. You are trying to fix a problem. Good Luck!

Answer 9

The best you can do is three-fold:
1) If your name is on the loan - you are ultimately responsible to pay. It's your credit and therefore your job to maintain it.
2) Confront your relatives in a gentle manner. It's not your hubby's job - it's yours. Consider which is more important, your relationship to them or your credit score.
3) Choose to see this as a life-lesson. In the future, NEVER loan money or extend credit to your relatives or friends. It's not worth the risk to the relationship. Read more about it in the bible : Proverbs 22:26-27.

Answer 10

You need to tell hubby that he needs to make the payments on time and then he can collect the payment from his' mom. Because it is affecting your credit.