It was an error and they will catch it. Do the right thing and get to the bottom of it. Some other poor bastard is probably wondering why his car isn't paid off yet.

Another thing that could happen is you may get a check in the mail. If a bank receives a check to payoff a loan for an amount higher than the payoff, the bank refunds the extra money back to the customer. For example if the correct payoff is $20,000 and they receive a check for $20,120.00. The bank will send the extra $120.00 back to the customer. Or if the customer has a savings account with them they will deposit the money in there.

Since you didn't send the payoff in odds are the check wasn't for the exact amount. That should have been the first clue to who ever screwed this up at the bank that something wasn't right. Keep an eye out for a check! When/if you get one you should give it back.

Trust me they will eventually figure this out and hold you liable if you don't do the right thing.

Of course there is the slight chance that someone who knows you paid it off. I doubt it because most banks require a written consent form to pay off an account but I guess it is a possibility... Maybe you have a rich secret admirer???

 

Get the bank to send you a SIGNED certified/notarized letter that your loan is paid off and in the event they try to screw you over, your in the clear...

 

I'm not sure how having a "paid vehicle" letter from the dealer is going to help you. since they don't hold the title. from my experience in the loan collection dept at the bank, if you can't provide proof that you actually paid off the vehicle, either with a check from your personal account, or some type of contact with the dealer, ie: traded it in for a new vehicle, which the dealer is suppose to send the payoff check within 10 days of you closing the new deal. then i would have to say that you are still on the hook for the $20k.

 

BTW, Sovereign's customer service number is #800-493-4993. Try calling them again tomorrow to get to the bottom of this.

 

^^^I agree with him...It will catch up to you...Just make sure you make an attempt to fix it and document it...So, they can't screw you over with the credit reporting company...

 

Well im going to SGI tomorrow to speak with my uncle and head finance manager to see if they had anything to do with the situation. Im sure i'll continue my payments... 20k is kinda hard to miss

 

I did twice.... I got transferred 4 times the 1st call and second call I was told that all my debt was cleared and paid for and theywere sending my car title today iono what to say lol...

I kinda wanna leave it alone but yet again I know the bank is smarter than this and it will eventually come back and bite me in the a$$

 

if it's a mistake on their part, they are not going to make you pay for their mistake. most likely, they will discover the error, send in a letter apologizing for the error, ask for the payments and title back and maybe even give you some $$$ for the trouble.

the worse they can do is ask for the title back and let you continue with the monthly payments.

 

When you talk to them make sure you tell them that you didn't pay it off and that they need to figure out what is going on.

If you played dumb like saying, "Is my car paid off yet?" then they would just open the account, see it is paid in full, and tell you yes it is.

You need to make them understand that you didn't pay it off. Then they will dig deeper and find out what happened.

I know this isn't what you want to hear but it is the right thing to do.

 

unlikely they'll not ask for late fees. In their eyes, you knew the car wasnt paid off and should have done more to make sure it was paid, regardless how inept the bank staff have been to your situation.

Ultimately you KNOW you didnt pay it off, so dont pretend like you did. THAT is kharma.

 

If they sent him the check back, than they are rejecting payment not sending back a bounced check.

 

Do the right thing... You don't want KArma getting back at u!!!

 

I agree. It didn't sound like the loan was now zero. It sounds like the accounts used to make the loan payment had a zero balance.

If in fact the note does refer to your loan balance now being zero get it corrected. Trying to get away with their mistake is foolish and will only result in a delay until they find out making you look bad when they do.

 

Just get it corrected. It's the right thing to do.

 

That's the way I see it. IMO, take the pink slip, and if they say anything, you did try to pay...
If they refused to accept a payment, I don't see how that could affect your credit in the future when they catch on.