How Westlake Financial Payment Works and What to Do If You Fall Behind
What Westlake Financial Does and How to Pay Them
Westlake Financial Services is a lender that finances used car purchases. When you buy a car through a dealer and the dealer sells that loan to Westlake, you become their customer. Your monthly car payment goes to Westlake, not to the dealer.
Westlake sends you a payment coupon or statement each month showing what you owe, when it is due, and where to send the money. You can pay by mail, by phone, or through their online portal. Most people set up automatic payments so the money leaves their bank account on the same day each month—usually through ACH, which is an electronic bank-to-bank transfer that takes one to two business days to clear.
If you lose your payment coupon or forget your account number, call Westlake's customer service line (the number is on any statement you have received). They will confirm your account and tell you the current balance, the due date, and the payment address. Paying on time keeps your credit report clean and prevents late fees.
Key Takeaways
- Westlake Financial is the loan owner, not the car dealer, so your payment goes to them even if you bought the car elsewhere.
- Payments are due on a set day each month; paying late triggers a fee and reports to credit bureaus after 30 days.
- You can pay by mail, phone, or online; setting up automatic ACH payments removes the risk of forgetting.
- If you cannot make a payment, contact Westlake before the due date to discuss options like deferment or a payment plan.
- Falling behind on a car loan can lead to repossession, but Westlake must follow state law and give you notice before taking the car.
How Late Payments and Fees Work
A payment is late if it arrives after the due date shown on your statement. Westlake charges a late fee for each payment that arrives late; the amount varies by state and by your loan agreement, but is typically between $10 and $25. The late fee is added to your balance, so you owe more next month.
After 30 days past due, Westlake reports the late payment to the three major credit bureaus—Equifax, Experian, and TransUnion. This stays on your credit report for seven years and lowers your credit score. After 60 days past due, the account may be sent to a collections department or a third-party collector. After 90 to 120 days past due (the exact timeline depends on your state and loan terms), Westlake can repossess the car without a court order in most states, though they must follow your state's repossession laws and give you notice.
If you are one or two weeks away from your due date and know you cannot pay, call Westlake immediately. Do not wait until after the due date. Explaining the situation before you miss the payment gives you a better chance of working out a solution.
What to Do If You Cannot Make a Payment
Contact Westlake's customer service as soon as you know you will miss a payment. Have your account number and the amount you owe ready. Explain your situation—job loss, medical emergency, unexpected expense—and ask what options are available. Westlake is not required to offer help, but many lenders do because repossessing a car is expensive and time-consuming for them.
Common options include a payment deferment, where Westlake allows you to skip one or two payments and adds them to the end of your loan (so your loan gets longer and you pay more interest overall); a loan modification, where the terms of your loan are rewritten to lower the monthly payment; or a payment plan, where you pay part of what you owe now and the rest over the next few months. Each option has different terms, and Westlake will explain what you may have access to for based on your account history.
If Westlake denies help or the options they offer do not work for your budget, you have other choices. You can try to refinance the loan with a different lender (though this is harder if you are already behind). You can sell the car privately and use the money to pay off the loan (though you may owe more than the car is worth). Or you can surrender the car voluntarily to Westlake, which stops the repossession process but still leaves you owing the difference between what the car sells for at auction and what you owe—called a deficiency.
Understanding Repossession and Your Rights
If you fall far enough behind, Westlake can repossess the car. Repossession means a company hired by Westlake comes to your home, workplace, or anywhere the car is parked and takes it without your permission. In most states, Westlake does not need a court order to repossess; they only need to follow the terms of your loan agreement and state law.
However, your state may require Westlake to send you notice before repossession happens. Some states require a written warning letter. Some require Westlake to give you a chance to catch up on payments before they repossess. Check your state's laws or call your state's attorney general's office to learn what notice and opportunity you are may have access to to. Your loan agreement should also spell out the repossession process.
Once the car is repossessed, Westlake sells it at auction. The money from the sale goes toward what you owe. If the sale does not cover the full balance, you still owe the deficiency—and Westlake can sue you in court to collect it. If you win a judgment against you, they can garnish your wages or put a lien on your bank account. This is why it is critical to contact Westlake before repossession happens.
How to Avoid Repossession
The best protection is to pay on time every month. If that is not possible, contact Westlake before you fall behind and ask about deferment, modification, or a payment plan. If you are struggling with multiple debts, consider talking to a credit counselor at a nonprofit credit counseling agency (search for one through the National Foundation for Credit Counseling at nfcc.org). They can help you create a budget and negotiate with creditors on your behalf, and the service is usually free or low-cost.
If you are facing repossession and cannot reach an agreement with Westlake, some states have legal aid organizations that can help you understand your rights or represent you in court. Search "legal aid [your state]" to find one in your area. Legal aid is free if you meet income limits.
Another option is to refinance the loan with a different lender before repossession happens. If you have some equity in the car (meaning it is worth more than you owe), a credit union or bank may refinance the remaining balance at a lower rate, which lowers your monthly payment. This only works if you are not too far behind and your credit score is not too damaged.
How Westlake Reports to Credit Bureaus
Every month, Westlake reports your payment status to Equifax, Experian, and TransUnion. If you pay on time, they report "paid as agreed." If you are late, they report the number of days late (30, 60, 90, or 120+). This information stays on your credit report for seven years.
A single late payment can lower your credit score by 50 to 100 points, depending on your overall credit history. Multiple late payments or a repossession will lower it much more. This affects your ability to borrow money in the future—for a mortgage, a credit card, or another car loan—and may also affect your insurance rates or job prospects (some employers check credit reports).
If you catch up on a late payment, Westlake will report that you are current again, but the late payment itself stays on your report. Over time, as you make on-time payments, the impact of the late payment fades. After seven years, it falls off your report entirely.
Paying Off Your Westlake Loan Early
If you want to pay off the loan before the final payment is due, you can. Call Westlake and ask for a payoff quote—the exact amount you need to pay to close the account. This amount includes any interest that has accrued but not yet been paid. Once you pay it, the loan is closed and the car is yours free and clear.
Paying off early saves you money on interest, but check your loan agreement first. Some loans have a prepayment penalty, which is a fee Westlake charges if you pay off the loan early. If there is a penalty, calculate whether the interest you save by paying early is more than the penalty. If it is not, paying off early may not be worth it.
You can pay off the loan with a lump sum (a bonus, a tax refund, money from selling something) or by refinancing with another lender at a lower rate and using that money to pay off Westlake. Either way, once the loan is paid, ask Westlake to send you a lien release or title release document, which proves the loan is closed. You will need this to register the car in your name at the DMV.
Frequently Asked Questions
Can Westlake repossess my car if I am only one payment behind?
Legally, yes—most states allow repossession after one missed payment. In practice, Westlake usually waits until you are 60 to 90 days behind, because repossession is expensive. But do not count on this. Contact them as soon as you know you will miss a payment.
What happens if I pay late but then catch up?
You will owe a late fee, and the late payment will be reported to credit bureaus. But you are no longer in default, and repossession is less likely. The late payment stays on your credit report for seven years, but its impact weakens over time as you make on-time payments.
Can I dispute a late fee if I paid on time?
Yes. If you have proof that your payment arrived on or before the due date (a bank statement, a receipt, a tracking number), contact Westlake and ask them to remove the fee. If they refuse, you can file a complaint with the Consumer Financial Protection Bureau (CFPB) at consumerfinance.gov.
What if I owe more on the loan than the car is worth?
You are underwater on the loan. If the car is repossessed and sold at auction for less than you owe, you still owe the deficiency. Refinancing with another lender or paying extra toward the principal each month can help you get above water over time.
How do I know if my payment was received by Westlake?
If you pay by mail, allow five to seven business days for the check to arrive and clear. If you pay online or by phone, you should receive a confirmation number immediately. Log into your Westlake account online or call customer service to confirm the payment posted to your account.