Auto loan due date and process time

[Jim goalder]

Jurisdiction

Colorado

In a auto loan contact can the lender require payment be made earlier than the set due date for processing the payment?

 

[adjusterjack]

Why is the lender "requiring" that? Details would help.

What does your contract say about the due date? If it says a particular date of the month then you make sure it gets to the lender no later than that day. In other words mail it far enough in advance to get it there on time.

Have you made all your payments on time, or have one or more of them been late? A delinquency could put you in default.

 

[Jim goalder]

Why is the lender "requiring" that? Details would help.

What does your contract say about the due date? If it says a particular date of the month then you make sure it gets to the lender no later than that day. In other words mail it far enough in advance to get it there on time.

Have you made all your payments on time, or have one or more of them been late? A delinquency could put you in default.

Thank you for your responce. The loan is new with one payment made a month earlu. The loan is my girl friends. And the loan officer at the car lot is in my thought is not giving her correct information. My understanding is she is being told that her payments have to be made far enough out that they are processed completely by the lender before the payment due date.

 

[adjusterjack]

Car dealers are liars and thieves. Is that one of those "we tote the note" places?

Anyway, that's pretty much what I said about getting the payment mailed far enough in advance so that is does get applied to her loan by or on the due date.

If she wants to avoid hanky panky by the shady dealer I suggest that she bring the payment to the lot on or before the due date and get a receipt. Don't use cash. Pay by check or money order and get a receipt anyway.

Meantime, she should read her loan contract.

 

[Jim goalder]

Car dealers are liars and thieves. Is that one of those "we tote the note" places?

Anyway, that's pretty much what I said about getting the payment mailed far enough in advance so that is does get applied to her loan by or on the due date.

If she wants to avoid hanky panky by the shady dealer I suggest that she bring the payment to the lot on or before the due date and get a receipt. Don't use cash. Pay by check or money order and get a receipt anyway.

Meantime, she should read her loan contract.

Yep they are! I work for one but for some reason she wasn't believing what I told her! But you have change the out come of this issue. thank you again for your time and input!

 

[Tax Counsel]

In a auto loan contact can the lender require payment be made earlier than the set due date for processing the payment?

In Colorado, if the contract simply states that the payment is due on a particular date, you simply have to ensure that the payment is received by the lender on or before that date, and if that date is not a business day (i.e. it's a Saturday, Sunday, or holiday) then make sure it arrives no later than the last business day before the due date. Once the lender has the payment in hand, you've met your responsibility and any further processing time that the lender has once it gets the payment is on the lender. If the lender needed payments in by an earlier date to deal with processing time, then that earlier date is what should have been specified in the contract.