Legal Question in Consumer Law in Massachusetts

Auto Loan

I paid off a car loan with Capital One in Jan. 06. I have the title, a letter from Capital One congratulating me on the pay off, receipts, etc. I recently got a copy of my credit report and the auto loan is listed on it twice, one saying closed, paid in full. The other (exact same info, etc.) saying I owe $90 and the account is still open. I finally got an answer from Capital One that boils down to they made a mistake sometime during the life of my loan where they applied someone elses payment to my loan and now even though I own the car, I have to pay this amount to have it officially paid off. The money is not the object. And the only reprecussion from not paying the money is that eventually it will show on my credit account as a delinquemt account even though it is also listed as closed and paid in full. I don't feel this is fair to me as I paid the amount they told me I owed to pay off the account. I have never been notified of this error and I would not have even known about it had I not seen it on my credit report. I have not received a payment request since paying it off until today I received one which I'm sure is due to my repeated phone calls. Is this worth pursuing or should I just pay it and forget it and let them win.


Asked on 12/01/06, 6:45 pm

1 Answer from Attorneys
William McLeod McLeod Law Offices, PC

Re: Auto Loan

It sounds as if you may have violations of the Fair Credit Billing Act as well as the Fair Credit Reporting Act. To really make that determination, it's important to be able to review the documents you mention, as well as ask you some other questions concerning the loan and your communications with Capital One. Please feel free to contact me offline to discuss this further. [email protected]

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Answered on 12/01/06, 7:00 pm


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