by flamak25 » Sat Sep 06, 2008 09:20 pm
The procedure of cashing out a check may vary from one company to another and if you are cashing out a check you may call the issuing company to ask what their requirement is to cash the settlement check.
Here are few steps you may follow:
Here are few steps you may follow:
- You may call your lien holder or the bank and let them know that you have received the check for insurance settlement and that it is payable to the policy holder and the company.
- Get your check endorsed and ask the company to endorse their check too. You can find out from the lien holder which department you need to send their check to. After getting it endorsed the company will send back the check to you. If there are any other payees on the check they must get the check endorsed too, even if it is your spouse.
- After the lien holder and other related people have endorsed the check you must deposit it in your bank account.
- Wait for clearance and then you may issue your personal check to your lien holder who you owe money. It may be your auto repair shop or the contractor who has got your home repaired or any other related person or company.
- If your check amount is large some banks may require you to produce a report for insurance loss and also the bid placed by a contractor or a body shop for which you need to make the payment.
Is it difficult to cash an auto settlement check if your car is repoed?
Not if the check is in your name and the lien holder's. But if the insurance company has put the check in the name of the lien holder you might have a little difficulty in getting the balance amount back. They might give you a proposal to get the car repaired and use up the balance amount you think you deserve. If this is the case, you may contact them and ask them what procedure they follow after you have endorsed a check and mail it to them.
What are your rights when your car is repossessed?
If your car is repoed, you may contact the lender and try to negotiate a payment option. Repossessing your car is not the best option for your lender since they lose out thousands of dollars doing this. So, usually they would like to work out a payment plan with you and try to prevent their loss.
When you sign an agreement document with your lender you must first go through the terms mentioned in the document. It is supposed to have rights you possess in case you default on a payment or if your car is repossessed. Make sure you know your rights and be aware to not be fooled in to any action taken against you that is not legal.
When you sign an agreement document with your lender you must first go through the terms mentioned in the document. It is supposed to have rights you possess in case you default on a payment or if your car is repossessed. Make sure you know your rights and be aware to not be fooled in to any action taken against you that is not legal.
Related Readings
- Can you cash an insurance claim check?
- When check in not made to lienholder
- Insurance check after a fire breakout
- Insufficient insurance check
- About insurance claim check
- Should you take a check or ask for replacement?
- Higher estimate auto insurance claim check
- When should you cash out?
i had my vehicle repoed before I could fix the small damages and the lein holder has closed out the account with the account stating paid-closed credit line , but i have a balance of 900.00$ left owe to the lein holder , can i take my 2300.00$ automobile insurance claim checks (it's made out to ,me and the leinholder ) and pay off the balance and keep the rest , or will they take the whole check ? can i get into trouble if i cash it with the leinholder ?thank you very much for your response..
Posted: Sun Oct 30, 2011 11:00 pm Post Subject: cashing both claim checks from both insurance companies
can i cash both checks from both insurance companies made out to me
Posted: Mon Oct 31, 2011 04:38 am Post Subject:
I think so, if the checks were made out on your name only, you may cash them.
Posted: Wed Jan 04, 2012 03:04 am Post Subject: unclaimed property
the state of ct has in the treasury dept money (unclaimed property) .which happens to be from a ins. claim on a auto we were to get a repair on and did not cash in on.5 yrs ago. The car has been long since paid for we have the title. how did the state get that money.
And can we get it and how
Posted: Wed Jan 04, 2012 03:05 am Post Subject: unclaimed property
the state of ct has in the treasury dept money (unclaimed property) .which happens to be from a ins. claim on a auto we were to get a repair on and did not cash in on.5 yrs ago. The car has been long since paid for we have the title. how did the state get that money.
And can we get it and how
Posted: Wed Apr 25, 2012 02:34 am Post Subject: Cashing a claim check in the prosseing of the second car fro
I have got a fat check for my civic, that I am making payment on. The made the check to me and Honda finance. I had a cvr that was just repo by them 3 weeks ago and they have not sold a cvr yet, and I don't have the final balanced for it yet. If I send the check to them to be enforced, would they be able to hold my check and take the money for the crv
Posted: Wed Apr 25, 2012 02:35 am Post Subject: Cashing a claim check in the prosseing of the second car fro
I have got a fat check for my civic, that I am making payment on. The made the check to me and Honda finance. I had a crv that was just repo by them 3 weeks ago and they have not sold a crv yet, and I don't have the final balanced for it yet. If I send the check to them to be enforced, would they be able to hold my check and take the money for the crv?
Posted: Wed Apr 25, 2012 02:39 am Post Subject: Cashing a claim check in the prosseing of the second car fro
I have got a fat check for my civic, that I am making payment on. The made the check to me and Honda finance. I had a crv that was just repo by them 3 weeks ago and they have not sold a crv yet, and I don't have the final balanced for it yet. If I send the check to them to be enforced, would they be able to hold my check and take the money for the crv?
Posted: Wed Apr 25, 2012 04:11 am Post Subject:
I can't speak for the legality of it but I'd say that there is a good chance they will at least try. It could be all the same account for them.
Posted: Wed Apr 25, 2012 12:40 pm Post Subject:
Thx for ur respond, that's my fear too! But I was hoping there is someone out there who had face the dame situation or maybe who would know the legal part of the situation!
Posted: Wed Apr 25, 2012 06:56 pm Post Subject:
An insurance claim check is not the same kind of money as your loan payment. It would be considered "conversion" on the part of the lender to retain/use the money for anything other than making repairs to a damaged vehicle. It would be unlawful to take the money intended for repairs and divert it to a loan payment (or arrearage).
But you have to face reality, too. You have a contractual obligation to repay the borrowed money. By failing to make more than one payment on time, they have enforced their right to repossess the property that secures their financial interest in you. They can sell that property for its present value, which could mean that you still owe them money.
If you fail to pay what you owe, they can go to court and get a judgment against you, and subsequently enforce that court order by garnishing your wages, or employing any of the other remedies permitted by law.
Man up and pay what you owe. The sooner the better.
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