I have a car loan with a company in FL and I'm curently living in UT. We have always paid our bill ontime due on the 14th. Consistently every month 5 days before the due date they call and pester us about sending in a payment.

On the 1st of this month we said we are paying the $6000 we have left in full but it would take a few days. Every day since at least the 12th the old lender has been bugging us about sending in the payment. The new lender sent the payment a around the 24th. The old lender is already labeling the car in a reposesion state and reporting to the credit bureau as such.

Is this legal? 12 days over and we've informed the lender our intent to pay off the car in full.

Legal probably. Depends on the wording of the loan contract. You should have timed the new loan so that you made your regular payment then got the payoff balance.

You can challenge the credit bureau listing by showing that the loan was paid off in full.