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I have an auto loan for 350.00 per month with HSBC Auto finance who was just sold to another company Santander.
I had payment arrangements for 500.00 per month with HSBC auto to pay for being 1.5 months late.
I made payments in Nov-Dec-Jan-Feb, (missed March) and now April is due. I was contacted by new loan holder (Santander) that the agreement is not valid and they charged off my loan?!!!! I confused can they legally do this? Isnt a 6 month missed payments a cause for a auto loan charge off?
Can anyone give me some advice?
auto loan charge off
Hi dc,
Yes, generally speaking car loans are charged off after a 6 month delinquency. However, this totally depends on the lender. It is better to inform the lender before you are going to be delinquent on your account. If you had always been a regular on-time payer, the lender may waive off the late fees.
Thanks,
Aaron