Warning, making loan payments, count your pennies!

[Turbo Horseman]

I am severely displeased.

Received a statement from Chrysler Credit Canada today that says I have a payment to make that is substantially smaller than my usual monthly payment. So why is that? I have been paying a little extra each month to pay down the principal, and the reduced payment is about what the extra is that I have paid so far. So why am I getting this statement?

After being on hold for ever to CC, I find out that the extra I have been paying each month is not reducing my principal. Instead it is being put aside in an interest bearing account, benefitting DC I assume. All because I didn't tell them that I wanted the extra to go towards principal. Talk about ****** off. I'm not stupid, I know the industry practice, what the financing contract says and what I was told by my dealership and they don't jive with this ***** story about this not being how their system works. Haven't been this upset in a long time.

I find this to be unethical. They were making money off of me two ways without advising me. They breached their contract with me.

After putting me on hold for a few minutes, I was told that they would go back and credit my account as if I had told them originally that I wanted the extra to go to principal in the first place.

The clincher, in order to continue having the principal reduced, I have to tell them each time where I want the extra to go.

They rectified the breach, but they haven't repaired the damage to their integrity with me.

If I ever buy a DC product again, I will not use their financing. My experience: great truck, great dealership, miserly manufacturer (no high idle etc.) and unethical finance company practice.

So everyone, call Chrysler Credit Canada or US and check your loan status. If you've been paying some extra each month, then get them to credit your account properly stop this unfair practice.

Let us know your experience and the outcome.