What should I do next? - Posted by HT -CA

Posted by GlenSoCal on November 20, 2001 at 14:24:15:

If you are going to send a check, at least write your conditions on the back of it; not on a detachable piece of paper that only YOU have signed. Unfortunately your cash is in their account and your offer letter is probably in the round file.

If the amount you prepaid is small enough ($5,000 or less in CA) take the lender to small claims court. Bring your 20% reduction letter, and the letter the lender sent you REFERRING TO THE 20%. The court may reason that you wouldn’t have prepaid without something in return. I think the transaction is considered ‘unconcionable’. That is, a reasonable person would not have prepaid for nothing!!

I’m not an attorney, and this wasn’t a real estate question by the way.

Good Luck.

What should I do next? - Posted by HT -CA

Posted by HT -CA on November 20, 2001 at 10:27:55:

Hi, folks
This posting is not directly related to REI but it is very important lesson about cash value.

I recently learned the value of cash. Whenever you pay cash you always ask for a discount. So, I practice what I learn by sending a check to my car lender to pay off the loan with a request of 20% discount. Along the check I attached a letter stating what the check was for and demanded a statement that the loan is satisfied and the account is closed. Well, the check was cashed but they sent me my account statment saying that I still owe them the remaining 20% and the next payment is in Aug. 2003

I thought what I send them was an offer. If they cashed the check (which they did), the offer was considered accepted and the loan was supposed to be satisfied. Is this a common business practice? There should be business law for that, right? What should I do next?

Thank you for you response!