opennerve asked:


I refinanced my car in September of 2008. I received notification in November that Insurance had been added to my loan balance because I failed to provide proof of insurance. Upon receiving notification I called my insurance company and asked that they provide my finance company with proof of coverage. I was assured by finance company once letter is received insurance would be removed. A week later I receive a call from my finance company stating that they have received proof of coverage but they are not listed as the leinholder so they can not credit my account for having insurance. I then call my insurance company again and have leinholder updated my agent faxes another letter. I call my finance company back and they state they have received letter from my agent but it shows policy effective date of 10/28/08 so they can only give me partial credit for insurance premium leaving a balance added to my loan principle of 630. Again I call my agent request declaration letter showing showing that my car has been covered without lapses since it was purchased in 2007. I follow up on the letter with the finance company they explain that even though they show I have been covered since 2007 they have the right to bill for premium because they were not listed as leinholder on my insurance until 10/28/08. They stated to me that they were not protected had I gotten into accident in September. I explain that they have the title to my car and are listed as leinholder on my title in addition I had full coverage on my vehicle in September. Plus it is now December they are retro billing for services they did not render.

When I asked if there is anything that can be done. They stated no since they were not listed as leinholder with my insurance they have the right to bill for lapse in coverage even though they recognize that my car was insured. Currently I am attempting to get my insurance to retro the lein holder but that is proving difficult as well. I live in the state of Missouri I was wondering if anybody has any advice on dealing with this situation what are my rights as the consumer ? Do I have any legal recourse? Due to the insurance the finance company just billed me an additional amount over my regular car payment ( my regular car pyment has been paid) . I was advised if I don’t pay in a week they will consider my car payment late and add an additional late charge. What should I do ? Any advice would be very helpful Thanks in advance.

Juan