I was out of work for an extended period of time where my ability to continue making my auto loan payments wasn't possible. I cooperated with the assigned repo company in collecting the vehicle once it was clear I couldn't get current on the loan. The vehicle was sold at auction for a little over 3k.
This was conservatively 9k under wholesale value of what I could have received by selling it to a dealership. The dealerships that buy your vehicle will only pay you the same amount they would have paid to buy it at auction. So essentially the company that USAA selected to sell the vehicle sold it far below what the vehicles current wholesale value was at the time of the sale.
The vehicle was a 2003 Ford F250 Super Duty Crew Cab Short Bed 6.0l Diesel in good to excellent condition. Anyone who is knowledgeable in the ownership/value of a diesel truck in todays market knows that they hold their value. My truck should have sold for a min of 9k to 11k at auction due to that being what I could expect based on average market prices at auctions.
I was given the loan through USAA Auto Loans so they confirmed the value as 12k or more due to their using it for the 12k loan as collateral. Their choice of the company who undersold the vehicle at a little over 3k should be with them not me. Instead they without notification to me reinstated my original loan that had already been listed as delinquent and charged off. The original loan now had a ballance due of just under 10k with monthly payments of $285. Because I wasn't notified of them reinstating the loan I never knew I had a financial responsibility to make the payments until I started getting notices from USAA that my payments were delinquent on the loan they had already posted a year earlier as past due for three months before the loan was charged off on my credit reports.
With the reinstatement of the loan without my knowledge USAA has double dipped in their reporting to the credit agency's my 3-4month payment deliquantcy and eventual charge off. This makes it so my ability to get a new loan impossible because of the second reporting made after the repossession over a year prior. They have been and are posting a non-payment on all three of the credit reporting agency's for the amount they were shorted in the sale to pay off the loans ballance due to the third party they selected to sell the truck.
MY QUESTION IS CAN USAA OR ANY LENDER DO WHAT THEY HAVE DONE BY REPORTING MY MONTH'S OF NON-PAYMENT FOLLOWED BY A CHARGE OFF, AND THEN DO SO AGAIN OVER A YEAR LATER BY THEIR REINSTATEMENT OF A SECURED LOAN I HAD BEEN GIVEN THROUGH THEM THAT THEY HAD TAKEN REPOSSESSION OF THE UNDAMAGED COLLATERAL TO OFFSET THEIR LOSSES.
PLEASE PROVIDE LEGAL REFFERENCES IN YOUR RESPONSES TO AID ME IN REVERSING THE SECOND REPORTING OF THE LOANS DELINQUENT STATUS THAT HAS BEEN DONE ON A MONTHLY BASIS SINCE REINSTATEMENT AND CONTINUES TODAY.