How GM Financial Car Payments Work and What Happens If You Miss One

What GM Financial is and how your payment gets processed

GM Financial is the captive finance company owned by General Motors. If you financed or leased a GM vehicle (Chevrolet, GMC, Cadillac, Buick) through a dealer, your loan or lease contract likely went to GM Financial. They own your loan, collect your payments, and handle what happens if you fall behind.

Your payment moves from your bank account to GM Financial through an ACH transfer — an electronic pull from your checking or savings account on the date you agreed to. This happens automatically each month unless you set up a different arrangement. The payment covers interest first, then principal, which is why early payments in a loan reduce more interest than payments made later.

You can make payments online through the GM Financial website or mobile app, by phone, by mail, or through automatic withdrawal. If you pay online or by phone, the payment may take one to two business days to post to your account, even though the money leaves your bank immediately. This timing matters if you are close to your due date.

Key Takeaways

• GM Financial payments are processed by ACH transfer, which pulls money from your bank account on your due date unless you arrange otherwise.
• If you miss a payment, GM Financial will contact you within days, and a missed payment stays on your credit report for seven years.
• After one missed payment, you can usually catch up by paying the past-due amount plus any late fees; after two or three, the lender may begin repossession.
• If you cannot pay, contact GM Financial directly before you miss a payment — they may offer a deferment, forbearance, or loan modification.
• Paying late costs you a late fee (amount varies by state and contract) and damages your credit score, making future borrowing more expensive.

What happens when you miss a GM Financial payment

A payment is considered late the day after your due date passes. GM Financial will send you a notice — usually by mail, email, or phone — within a few days. The notice tells you how much you owe, when you must pay to avoid further action, and what late fees apply. Late fees vary by state and your contract terms, but typically range from a flat amount to a percentage of your monthly payment.

After one missed payment, your credit report is marked with a 30-day late. This stays on your report for seven years and lowers your credit score immediately. If you pay within 30 days of the due date, you stop the damage from getting worse, but the late mark remains.

If you miss two or three payments in a row, GM Financial may begin the repossession process. They do not need a court order in most states — they can send a tow truck to your home, workplace, or anywhere the vehicle is parked. Once repossessed, the vehicle is sold at auction, and you still owe the difference between what it sells for and what you owe on the loan (called a deficiency). That deficiency becomes a debt you must pay, and GM Financial can sue you for it.

How to catch up if you have fallen behind

If you have missed one payment, contact GM Financial immediately. You can call their customer service line, log into your online account, or visit a GM Financial office. Tell them you want to bring your account current. You will need to pay the full past-due amount plus any late fees and interest that has accrued. Once you pay, your account returns to current status, though the late mark stays on your credit report.

If you have missed multiple payments or cannot pay the full past-due amount at once, ask GM Financial about a payment plan or catch-up arrangement. Some lenders will let you add the past-due amount to your next few regular payments instead of demanding it all at once. This is not may provide, and GM Financial may refuse if you are already several months behind.

Do not ignore the notices. Ignoring them does not stop the clock — it only makes repossession more likely. Even if you cannot pay right now, calling to explain your situation and asking what options exist is always better than silence.

Deferment, forbearance, and loan modification options

If you are facing a temporary hardship — job loss, medical emergency, unexpected expense — contact GM Financial before you miss a payment. They may offer forbearance, which temporarily reduces or pauses your payment for a set period (usually one to three months). After forbearance ends, you resume regular payments; the paused amount is usually added to the end of your loan or spread across remaining payments.

A loan modification is a permanent change to your loan terms — extending the loan length to lower the monthly payment, for example. This costs you more interest over time, but it can make the payment manageable if your income has dropped. GM Financial may modify your loan if you can show financial hardship and a reasonable ability to pay the new amount.

Deferment is less common for auto loans than for student loans, but some lenders offer it. It delays one or more payments without adding them to the end of the loan. Ask GM Financial directly whether deferment is an option in your situation.

To request any of these, call GM Financial's customer service and ask to speak with someone in loss mitigation or hardship services. Have your account number ready and be prepared to explain your situation briefly. The process usually takes one to two weeks.

How late payments affect your credit and future borrowing

A single 30-day late payment can lower your credit score by 100 points or more, depending on your score before the late payment. A 60-day late (two months behind) does more damage, and a 90-day late (three months behind) does the most. These marks stay on your credit report for seven years from the date of the first missed payment.

Lenders use your credit score to decide whether to lend to you and what interest rate to charge. After a late payment, you will pay higher interest on car loans, mortgages, credit cards, and personal loans. You may also be denied credit altogether if the late payment is recent and severe.

Repossession is even worse for your credit. It appears as a separate negative mark and signals to future lenders that you did not complete a loan agreement. Repossession stays on your credit report for seven years as well.

Paying off your GM Financial loan early

You can pay off your loan at any time without penalty. There is no prepayment penalty on GM Financial auto loans. If you want to pay off the full balance, log into your account online or call customer service to ask for a payoff quote. This quote tells you the exact amount needed to close the loan, including any accrued interest through the payoff date. The quote is usually good for 10 to 15 days.

Paying off early saves you interest. For example, if you have five years left on your loan and you pay it off in three years, you avoid paying interest for those two years. The amount you save depends on your interest rate and how much principal you have left.

You can pay the payoff amount online, by check, by money order, or by phone. If you are trading in the vehicle or selling it, the dealer or buyer's lender will often contact GM Financial directly to get the payoff amount and pay it from the sale proceeds.

Transferring or refinancing your GM Financial loan

If you want to refinance your loan with a different lender, you can do so at any time. A new lender pays off your GM Financial loan in full, and you owe the new lender instead. Refinancing makes sense if you can get a lower interest rate, which saves you money over the life of the loan. You might refinance if your credit score has improved since you took out the original loan, or if interest rates have dropped.

To refinance, contact banks, credit unions, or online lenders and ask for a refinance quote. They will pull your credit, verify your income, and tell you what rate they can offer. If you like the offer, they handle contacting GM Financial and paying off the loan. The process usually takes one to two weeks.

If you are selling or trading in your vehicle, the new owner's lender or the dealer will pay off GM Financial automatically as part of the sale. You do not have to do anything except sign the paperwork.

Frequently Asked Questions

Can I change my payment due date with GM Financial?

Yes. Log into your online account or call customer service and ask to change your due date. Most lenders allow you to move your due date once per year, though some allow more frequent changes. Changing your due date does not affect your interest rate or loan terms — it just shifts when the payment is due each month.

What if I want to make a payment but my account is locked due to missed payments?

Call GM Financial immediately. If your account is locked, it usually means you are significantly behind and the lender is preparing for repossession. Explain that you want to make a payment. They will unlock your account so you can pay, though you may need to pay the full past-due amount rather than just the current month's payment.

Does GM Financial report to all three credit bureaus?

Yes. GM Financial reports your payment history to Equifax, Experian, and TransUnion. This means a late payment or repossession appears on all three of your credit reports. You can check your reports for free once per year at annualcreditreport.com.

What happens if my vehicle is repossessed and sold at auction?

You still owe the difference between what the vehicle sells for and what you owe on the loan. GM Financial will send you a notice of the sale and the amount of the deficiency. You can negotiate a payment plan for the deficiency, but you cannot simply walk away from it. If you do not pay, GM Financial can sue you and garnish your wages in many states.

Can I get my vehicle back after repossession?

In most states, yes — but only within a short window (usually 10 days) and only if you pay the full amount owed plus repossession and storage fees. After that window closes, the lender can sell the vehicle. The fees add up quickly, so if you want your vehicle back, act immediately.