GMAC collapse

mrbaxr6t · 31-12-2009, 05:51 PM

I currently owe money on my vehicle to GMAC financial services, just realised that they were GM's finance division, anybody know what this means for me? I have been making payments and have been continuing to do so, do I now owe the US govt the money who bailed the finance company out?

And on the subject I have had no correspondence from them for a very long time no statements or anything, and I even tried to call them for a "payout figure" I got a recorded message directing me to call a a different number, when I called it I could not be given any information regarding my loan or the amount I owe or anything? was told "it will be looked into and I will get a call back" that was two weeks ago - still waiting for that call

Pretty sure no matter how arsed the company I borrowed the money for the car gets they cannot repo my car to pay their bills?

stressing a little here people

:

any constructive comments be appreciated

cosmo20btt · 31-12-2009, 06:06 PM

Obama's going to be a very busy man now that he is in the finance bussiness, any just keep all your payments so there is no confusion what you have paid payments but it does sound like they have completly gone under.

cycle myth · 31-12-2009, 07:18 PM

Just keep making your payments.

Sounds like they are a mess at the moment however it won't take long before they get things straight when it comes to money.

Either GMAC will come knocking for the payments or some other financial institution that buys their "book" will.

The only real thing you may need to be careful of is if you wanted to trade your car or pay the loan off quick - as you have found getting a payout figure may be difficult or slow that may slow down your next purchase if you trade and still owe money and you need to release the encumberance on your car.

If this does happen to you then I suggest you take reasonable steps to follow them up, note what you have done then go to the financial ombudsmen.

Kryton · 31-12-2009, 08:46 PM

Continue on as if nothing had ever happened.
They cant take your car to pay their bills, laws and contracts still apply.

CAMS290 · 31-12-2009, 10:46 PM

The US Govt has just bailed them out to the tune of $3.8bn (US)

From Wall Street Journal
http://online.wsj.com/article/SB1000...579461138.html

WASHINGTON—The Treasury Department on Wednesday said it will provide GMAC Financial Services with an additional $3.8 billion in capital and assume a majority stake in the firm.

The money, along with adjustments to existing aid already provided to the firm, aims to close a capital shortfall identified by government stress tests in May. The additional aid brings the total U.S. investment in GMAC to $16.3 billion and raises the government's ownership interest to 56% from the current 35%.

In exchange for committing more funds, the Treasury will appoint a total of four directors to the company's board instead of two as previously planned.

The company will also continue to be subject to pay limits set by U.S. pay czar Kenneth Feinberg.

The additional aid is expected to help the firm absorb additional losses associated with mortgages.

GMAC said Wednesday it had written down approximately $2 billion in mortgage-related assets.

"These actions offer the best chance for GMAC to complete its overall restructuring plan and return to the private capital markets for its debt financing and capital needs in 2010," the Treasury said in a statement.

The capital boost is likely to give GMAC more flexibility in dealing with Residential Capital LLC, or ResCap, its struggling mortgage unit. The unit lost $2.7 billion through the first three quarters of 2009, following $9.96 billion of losses in 2008 and 2007.

GMAC had set an internal deadline of the end of the year to decide what to do with ResCap.

In conjunction with the Treasury's announcement, GMAC on Wednesday said it had pumped $2.7 billion into ResCap and written down approximately $2 billion in ResCap mortgage assets.

"With the capital contribution, ResCap's net worth will exceed the minimum level required to meet certain covenants," the company said.

GMAC said it doesn't expect to incur additional substantial losses from ResCap.

"By protecting the financial performance and strength of our core automotive finance operations, we expect to increase the pace at which we can fully repay the U.S. taxpayer," GMAC Chief Executive Officer Michael A. Carpenter said in a statement. "These actions will also allow GMAC to pursue strategic alternatives for ResCap and the mortgage business."

The Treasury's move adds to the roster of companies now under majority or significant government control. The list includes General Motors and Chrysler Group LLC, insurer American International Group Inc., mortgage finance giants Fannie Mae and Freddie Mac and bank Citigroup Inc.

deesun · 01-01-2010, 12:39 AM

I'll bet they contact you quick smart if you stop making payments.

**ebxr8240** · 01-01-2010, 12:54 AM

Quote:

Originally Posted by deesun

I'll bet they contact you quick smart if you stop making payments.

Then you'll find out quick what the pay out figure is !!!

silvergsvan · 01-01-2010, 02:33 AM

You have to default on your obligations before they can repo. However, from prior experience (I had a mortgage with Pyramid way back when), if they want thier money back they can search the fine print for a default to issue a letter of demand to get their money back earlier than the loan term. In my case, I had renewed my property insurance but my broker failed to provide evidence to Pyramid, they served demand on me and made me refinance.

GMAC will have the same option, so keep everything in order (if you refinance, only the finance company makes money.

Oh yeah, and Happy New Year.

Bent8 · 01-01-2010, 02:37 AM

Yet another taxpayer funded bailout....

God bless America!

XplosiveR6 · 01-01-2010, 11:24 AM

Take the matter to fair trading, they can be really helpful to get questions answered. Then re-finance with a reputable bank or credit company

XR Martin · 01-01-2010, 11:37 AM

Do a Revs check and see if theres still financial interest in the vehicle. If not, quickly sell the vehicle. After which, its no longer your problem.

low_72 · 02-01-2010, 09:20 AM

GMAC

Isn't this the company that the American public was in up roar about as they got the government to get them out of the but there spending ways didn't stop...ie corporate jets for the top staff and office make overs worth millions?

The only thing you have to think about is if you continue to pay your weekly bill...where is the money going..to them or into a black hole..i would ring another lender and see if they can possible take over your debt as they would be in a inside position to be able to contact them.

Ray

Keepleft · 02-01-2010, 12:49 PM

An Aussie sub prime episode one day?

Interesting thread OP, thank you!

eawaggin · 03-01-2010, 04:46 PM

Quote:

Originally Posted by low64

GMAC

Isn't this the company that the American public was in up roar about as they got the government to get them out of the but there spending ways didn't stop...ie corporate jets for the top staff and office make overs worth millions?

Ray

yep thats one of them

mrbaxr6t · 19-01-2010, 06:29 PM

I know this thread slipped into obscurity but I poked the bear and it woke up! heres what I did :

I make payments via bpay and I had the cash so I gave them a lump sum of mid 4 digits amount, and low and behold a week later I received a LETTER yes! a LETTER from these people with a "GMAC" header thing across the top of the page, it was essentially telling me that I do not need to make a payment until a date quite distant in the future, I read it and found it quite amusing that I have to go to these extremes just to get them to acknowledge my existence, and I thought that was that until I received a PHONE CALL <yikes> and it was some random female claiming to represent gmac financial services and was to make sure I recieved their letter they sent me, to confirm the date payment is due and to make sure the payment was not an error !!!

now I decided to strike and go on the offensive and ask for a payout figure amount and other details pertaining to my loan agreement - this sent this person into a flatspin and she was unable to answer my questions and I was given the usual speel about it will be looked into and I will receive a phone call - this lead me to tell her that I am still waiting for the last phone call I was said to recieve that I am still waiting for and I demanded a letter and also said that I am entitled to loan statements if I request one under law - this too left her with nothing to say apart from "you will get a statement"

I am worried that my money is disappearing into the god damn ether I like everybody else am doing the right thing and paying for my car despite the finance company giving me nothing absolutely nothing

that was almost two weeks ago that the phone call event occurred I still await the letter

kezzer · 19-01-2010, 06:33 PM

Ok, so whats happening with GMAC??

My last car payment went in on the 3rd of january... It gets directly drawn from my bank account every month.

I have a $25k loan on my FG, should I stop my payments or call or what?

csv8 · 19-01-2010, 06:38 PM

FORD Credit Australia sold out to Mcquarie Bank. Account details etc all stayed the same.

mrbaxr6t · 19-01-2010, 06:39 PM

Quote:

Originally Posted by kezzer

Ok, so whats happening with GMAC??

My last car payment went in on the 3rd of january... It gets directly drawn from my bank account every month.

I have a $25k loan on my FG, should I stop my payments or call or what?

I knew I wouldn't be alone!!!

kezzer look into it GMAC was general motors finance company for new car purchases they have gone **** up with GMC and will not return my calls etc as documented in this thread, I just continue paying them but I want some INFO from them not this pie-in-the-sky waffle that I have been getting from them thus far - if you manage to get ANY info out of them let me know who you called so I too can call them cause they wont tell me sfa and it is very annoying

and another thing have you ever recieved anything in writing from them? and if so when?

kezzer · 19-01-2010, 06:48 PM

Hey mate nothing in writing, just $595 taken from my account lol.

I know who GMAC is, and just found out via this thread they are bankrupt haha, so cheers for that.

I will give them a call tomorow. Thanks for the heads up.

What would happen if we stopped payments? Who would reposes the car with them being **** over?

phillyc · 19-01-2010, 09:22 PM

Quote:

Originally Posted by mrbaxr6t

I know this thread slipped into obscurity but I poked the bear and it woke up! heres what I did :

I make payments via bpay and I had the cash so I gave them a lump sum of mid 4 digits amount, and low and behold a week later I received a LETTER yes! a LETTER from these people with a "GMAC" header thing across the top of the page, it was essentially telling me that I do not need to make a payment until a date quite distant in the future, I read it and found it quite amusing that I have to go to these extremes just to get them to acknowledge my existence, and I thought that was that until I received a PHONE CALL <yikes> and it was some random female claiming to represent gmac financial services and was to make sure I recieved their letter they sent me, to confirm the date payment is due and to make sure the payment was not an error !!!

now I decided to strike and go on the offensive and ask for a payout figure amount and other details pertaining to my loan agreement - this sent this person into a flatspin and she was unable to answer my questions and I was given the usual speel about it will be looked into and I will receive a phone call - this lead me to tell her that I am still waiting for the last phone call I was said to recieve that I am still waiting for and I demanded a letter and also said that I am entitled to loan statements if I request one under law - this too left her with nothing to say apart from "you will get a statement"

I am worried that my money is disappearing into the god damn ether I like everybody else am doing the right thing and paying for my car despite the finance company giving me nothing absolutely nothing

that was almost two weeks ago that the phone call event occurred I still await the letter

You borrowed the money, so it's good to see you sticking to your end of the agreement to pay it back. I also agree that it's unlawful to not provide you with a statement.

My bet would be to go to the Banking/Financial ombudsman and make a complaint. IF you could prove that you would be paying less interest (re-financed) or no interest (paid in full), then you may be legally entitled to restitution.