LUBBOCK, TX (KCBD) - As the news of the Reagor-Dykes Auto Group filing for bankruptcy has come out, questions have lingered with customers on what steps they should take to be sure there won't be any legal complications related to their purchases.
Ronnie Keister, Lubbock County tax assessor-collector who handles state licensing and registration, said those who have already bought a vehicle where the title has already been transferred have nothing to worry about.
People who have not had their vehicle titles transferred should check with their dealer, Keister said. That goes for any trade-in vehicles that may not be paid off. Keister stresses that Reagor-Dykes is still in business.
"If you have traded a vehicle in and had a note on it, and you don't know for a fact that it has been paid off, you want to call you lending institution and see where they are with it and see what they want you to do," Keister said.
Some lenders have different ways of handling situations like these. They may want customers to make payments or take a different route, that should be between the lender and the customer.
Those who have purchased new vehicles are advised to check with specific lot that sold them the car, Keister said.
"Call whoever sold you the car with Reagor, because they have several different lots, 'just checking on my title work. Seeing how it goes,'" Keister said. "They do have 20 working days on a normal transaction. There are some exceptions to that where it can go a little longer to get everything transferred."
Any leased vehicles from Reagor-Dykes should be handled in the same ways.
"There are some that Prime Capital Auto Lease is taking the payments on and there are some that have been leased out through other companies, whether it's Ford Motor Credit or GMAC or whatever," Keister said. "You want to check with them. If it is Ford Motor Credit or GMAC, you are probably fine and just continue as normal. If it is something that has payments to Reagor-Dykes themselves through Prime Capital Auto Lease, you will want to check with them to see where they are at in the process and what you need to do."
Keister feels certain no vehicles can be taken back from the purchaser if the title has been transferred and if payments are being made. If there is a title still or transaction pending, you will need to contact Reagor-Dykes.
If you are unable to resolve a title dispute or aren't getting answers from Reagor-Dykes, Keister says his office can't help with that situation and he advises seeking legal counsel.
"Until the title is transferred we are stuck just like you are," Keister said. "We have contacted DMV and are waiting on return phone calls so we can start sorting through issues."
If the bankruptcy situation turns drastic for the dealerships, the Department of Motor Vehicles does have processes in place that work with customers whose dealerships have gone out of business.
"At the point court starts entering orders and entering determinations, there will be a resolution," Keister said. "It may not be a resolution you may like, but there will be a resolution."