I bought my new Mazda in financed through Chase. As with a lot of other people, I got laid off shortly thereafter, and then had to file Chapter 7 in late discharged in 1st quarter. During the Bankruptcy process, the decision I made with Chase was that I would NOT reaffirm the loan, I did NOT do any loan modification, they basically allow you to keep the car as long as you keep making the payments.
The downside to this, is the trade line, even though it should stay as a positive record on your credit profile, it is still included in the official bankruptcy, so its noted as such and Chase in accordance with the law, stops reporting it, in essence, the trade line is closed.
So, in an effort to "rebuild my credit" with this car loan that has never been late and I am continuing to pay on it even with no reaffirmation or modification, I stumble upon RoadLoans. How great, "bad credit", "bankruptcy", all the buzz words I need to help me refinance this loan into something that will show a positive trade line on my report, since I should at least get that, right?
So, I fill out the info, which of course, makes an inquiry, but that's ok, I should get approved, so it will wash the inquiry. What? Denied, what the hell? Why? Oh, here's the email, let's see. Here we go, remember, this is after I got my Chapter 7 DISCHARGED and the reasons they denied me are:
Insufficient Debt experience Credit bureau does not contain an open auto trade line Well for once in my life, the credit bureau is reporting something correct, and not violating the Federal Bankruptcy laws and are correctly showing the auto trade line as not open, well, because, ITS NOT, because, it was in the Chapter 7. Wait, insufficient debt experience? I thought I declared bankruptcy?
So I wrote them an email, saying, please reconsider, I wrote them this email:
I recently applied on your website for an auto refinance, after carefully reading so many times, "After Bankruptcy" seems to be a feature of what you offer. I was sadly amused when I got denied, because of "Credit Bureau does not contain an open auto trade line". I wonder if thats because I declared Bankruptcy? In actuality, because of Federal Bankruptcy Laws, your system is correct. However, I did not reaffirm the loan, but I just continued to pay on it, and Chase has let me keep it. But they can't report it on my credit. I am asking please for a human response to my application, given the above information. You can call Chase at 800-336-6675 and using my social security number, you can verify my last payment this month. The vehicle is still in my possession, is in excellent, near perfect condition. The interest rate of 15.999% is killing me, I just need a chance, and I thought this website was it. Ideally it would be great to even get into a 36 month refinance. I thank you in advance for your consideration and look forward to hearing from you.
I get back the ultimate in replies and customer service:
Hello,
Unfortunately it must report to the credit bureau for us to consider an approval for you.
Regards,
Wow, amazing, such commitment to providing loans to people with Bad Credit, after a Bankruptcy. So, while RoadLoans may Advertise they provide loans to post Bankruptcy, and Bad Credit, what in fact they provided me was another inquiry hit to my profile based off a decision that the only way I could get satisfied is if I got JP Morgan Chase Bank to violate US Federal Bankruptcy Laws and have them report the trade line to the Credit Bureaus placing them in violation of the same laws as well.
Unreal to say the least. Thank you for reading.
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