Consumer Law, Warranties Wrong reasoning for loan

[Wanda Hollandsworth]

Jurisdiction

Virginia

My Grandmother recently got her bathtub replaced. She had to take out a loan and she did with the company who installed the bathroom worked with and recommended her go through. When I became aware of the loan and bathtub replacement, I asked to look over her loan paperwork. That is when I noticed that the company charged her $10,000 for the new bathtub and then I noticed on the loan paperwork it states that the reason for the loan was for HVAC Equipment. Now a bathtub replacement and HVAC Equipment are 2 different things entirely. I figure that the reason for the company putting HVAC Equipment is because no one would give a $10,000 loan for a bathtub replacement. Can she get out of this loan due to that?

 

[Zigner]

My Grandmother recently got her bathtub replaced. She had to take out a loan and she did with the company who installed the bathroom worked with and recommended her go through. When I became aware of the loan and bathtub replacement, I asked to look over her loan paperwork. That is when I noticed that the company charged her $10,000 for the new bathtub and then I noticed on the loan paperwork it states that the reason for the loan was for HVAC Equipment. Now a bathtub replacement and HVAC Equipment are 2 different things entirely. I figure that the reason for the company putting HVAC Equipment is because no one would give a $10,000 loan for a bathtub replacement. Can she get out of this loan due to that?

Sure - return the tub, get a refund, then return the money.

EDIT: In case it wasn't clear. It's very unlikely that your grandmother will be able to "get out of" the loan based on this. Like, astronomically unlikely.

 

[adjusterjack]

Well, if Wanda can show that her grandmother was mentally incompetent at the time and the contractor was able to defraud her because of that, there may be a slim chance.

Wanda, do you want to go that route?

You'll have to seek conservatorship or guardianship over your grandmother.

 

[zddoodah]

I noticed on the loan paperwork it states that the reason for the loan was for HVAC Equipment.

Which "loan paperwork"? Did your grandmother sign the document(s) that "states that the reason for the loan was for HVAC"? If so, why did she sign the document despite knowing it was untrue? How long ago did this happen? Has the bathtub replacement happen?

I figure that the reason for the company putting HVAC Equipment is because no one would give a $10,000 loan for a bathtub replacement.

All depends on what kind of bathtub we're talking about and the borrower's creditworthiness. Did you or your grandmother ask the contractor why it listed HVAC?

Can she get out of this loan due to that?

Probably not, but I'll reserve judgment until you have answered my questions.

 

[Zigner]

All depends on what kind of bathtub we're talking about and the borrower's creditworthiness. Did you or your grandmother ask the contractor why it listed HVAC?

Agreed - in my area (which is not Virginia, of course), the installed cost for a walk-in tub can range from $3,000 to $15,000.