LUBBOCK, TX (KCBD) - It’s been 232 days since the Reagor Dykes Auto Group (RDAG) filed bankruptcy. Nearly eight months later, there are some customers still paying for vehicles they traded to the dealership in the weeks leading up to that filing. One Reagor Dykes customer caught in this losing situation explains how it unfolded.
Brad Draper traded in his car on July 4, 2018. He got a truck and was able to get his registration and tags. The dealership gave him a check for $27,516 to give to the bank holding his car note. He said it seemed like everything was okay, until July 31, 2018, the day RDAG filed for bankruptcy.
Draper said he contacted the bank that held his car title to see if it was paid off.
“I called immediately to the lienholder on the car that I traded in. And I was told at that time paid off. So, I thought, whew, I got by on that one. I didn’t get caught up in this mess.”
Or so he thought, until he got a call from his bank 45 days later. The bank that had his car note said that Draper was late on his car payment. He called the bank back. “That’s when they proceeded to tell me that the check was insufficient, and I was still responsible for note.”
The car Draper traded in is still sitting in a dirt parking lot at the RDAG location in Floydada. Since he still owes on the car and doesn’t want the non-payment to hurt his credit, Draper said he’s paying that car payment along with his truck payment. Draper said he pays more than $1,200 a month.
Tuesday’s agreement announcement with RDAG doesn’t cover Draper’s situation. He’s stuck in limbo along with many other customers in the same boat.
“What I’ve been told by a representative at the bank is, they don’t want to get involved in it. They want to wait to see if it plays out, but the problem that I’ve got is they’re waiting for it to play out. But in the meantime, I’m having to keep making payments.”
If he could say one thing to the judge handling the RDAG case, it would be to help the customers first.
“Different entities that loaned money, I would assume, would have some kind of a policy in effect. They’re able to recover their collateral. There is a lot of consumers that aren’t even able to touch their collateral, but instead they’re having to endure the hardship until it gets sorted out.”