Check out some similar questions!

soperplexed · May 24, 2013, 08:21 AM

Son applied for auto loan through credit union, credit union approved the loan, sent the check for the loan. Purchased the auto and signed all the paperwork. Three days after taking possession of auto, the credit union phoned and said they can not honor the loan. Tried to contact them for a reason and no explanation give. We have approval number for the loan. We contacted the dealership and they have not heard anything in regards to the check being rejected. We do not know what to do, should we drive the car, return the car. What about the funds we paid out of pocket for the car. We have the pink slip, the temporary tags, we purchased insurance for the auto. No one is giving us answers and I have never heard of a situation like this.

tickle · May 24, 2013, 08:39 AM

I would phone back again, give your son's name and reference numbers and ask if they are referring to the wrong person. Which credit union is this? One that belongs to his employment?

odinn7 · May 24, 2013, 08:51 AM

I sell cars... I have not come across this yet and hope I never have to. Really though, if the loan was approved and the check sent, I don't see how they can just drop it once everything was signed... unless your son lied on the application and they discovered this. Lying could void it out but other than that, I can't see it.

You need to get in touch with them and get an answer. There has to be someone there that can talk to you and if they won't do it over the phone, go there in person.

ScottGem · May 24, 2013, 09:30 AM

The problem here is they ALREADY honored the loan, by issuing a check. But I would not drive the car for about a week. If you don't here from the dealer that the money was recalled, I would forget about it.

joypulv · May 24, 2013, 10:03 AM

'Tried to contact them for a reason and no explanation give.'
Call again, demand to speak to the manager, or go march in their door. No reason to sit around stressing about it, and I would be angry too. If it's a mistake and they are trying to brush it off, they owe you an apology. Tell them so.

Handyman2007 · Jun 7, 2013, 06:36 PM

If a loan is declined you MUST be notified in writing. A simple telephone call is not legal. Write a letter dirctlky to the president or CEO of the Credit Union or even better go to their office with all of you paperwork and insist on talking to a Manager.

Fr_Chuck · Jun 8, 2013, 04:20 AM

A real issue here, is you also signed a contract to buy the car, you have used the car and driven the car, so there will be liability to the dealership, it is not their fault, So this is going to get complicated.

The son, ( this is his loan) needs to go in person and I would go with him, to the credit union to resolve this.