Ok, so my car was repoed about 4yrs ago. They sold it for very little and tried to contact me that I still owe a balance. After the car was repoed I never got in contact with the bank or anyone affiliated with the car. They have been trying to contact me and sending me letters to try to call them and pay the remaining balance. The car was crap and I had problems with it 6months after I purchased it, had for 2 1/2yrs before it was repoed. I haven't paid them a dime since the repo. It's been 4yrs I owe like 4g's I still get letters but never reply back. I know my credit is suffering from the whole repo thing. I can't afford to pay them anything I'm still going through hard times financialy. My question is what happens if I continue not to pay? As far as my credit I hear that the repo will fall off after 7yrs which means I have 3yrs to go. I'm sure their going to push harder to collect the remaining balance because of the bad repo report on my credit will soon fall off. What should I do?
2007-03-10 12:19:50 · 7 answers · asked by Anonymous in Business & Finance ➔ Credit
Repo's fall under the UCC for a 4 year statute of limitations (SOL) for collections from the date the vehicle was sold creating the deficiency. (2 years if they failed to send all of the required notices before and after the sale)
Just because you may be out of the collection SOL does not mean that they cannot continue to try to collect. It does mean that they cannot legally sue - but that does not stop some collection agency's.
http://whychat.5u.com/repoltr.html
Go to the site I've linked and thoroughly read the page. Understand everything on it before sending any of the letters out.
If you have any questions about the information on that page or just have any questions about the repo, I would suggest going to the following link I've provided and ask your questions in the credit forum. There are many people on that site that know that letter and how to use it.
http://www.creditboards.com/forums/
Both sites are totally free and very informative sites - never pay a site for information.
2007-03-10 12:44:17 · answer #1 · answered by echo 7 · 0⤊ 0⤋
OK my wife works for a finical institution and she is probably one of the people calling you about your repo. You are responsible for the balance from what the bank got for your car and what you owed them. When you took out the loan you signed a contract with the bank. Even if in three years it falls off your credit it does not mean you don't owe the bank or the lender the money eventually they will sell the loan to a collection agency. And there lawyers will find and sue you and garnish your wages. If you declare bankruptcy you will still have to pay it back just not the whole amount and it will take longer. My advice talk to the collectors talking to you most of them will want to work something out with you and sometimes you can bargain with them and get them to settle for much less because they would rather not sell the debt for pennies on the dollar or hire a lawyer.
2007-03-10 12:34:13 · answer #2 · answered by know it all 2 · 0⤊ 1⤋
You could be past the Statute of Limitations, which means it is not collectible at this point.
Check the website below for your states statute of limitations. If you're past it, they can't file suite and get a judgment so just ignore them. The statute starts from the date of last activity. That means, the last time you made a payment or the last date you said you would make a payment.
If you pay them anything, the statute starts again from the date of the payment.
It's going to be on your credit report for 7 years regardless of what you do. If you're willing to just leave it on your report for another 3 years or so, and the statute has run anyway, just ignore them.
2007-03-10 12:27:46 · answer #3 · answered by Faye H 6 · 0⤊ 0⤋
i don't think of you have a criminal course. there's no written data asserting that's what their suggestion became, so it comes down on your be conscious against theirs. They unquestionably screwed you. in all probability partly because of the fact they didn't want the different motor vehicle on the lot. Readers Digest had an exciting suggestion some months decrease back. the guy from the article made up some signs and warning signs and pronounced that they could be out at particular situations (on public assets) in front of their dealership protesting their medical care. confronted on the shortcoming of many purchasers they desperate to settle their situation quietly.
2016-10-01 22:07:39 · answer #4 · answered by bergman 4 · 0⤊ 0⤋
The balance will remain on your credit report until you either pay it off, or you declare bankrupsy. A bankrupsy remains on your credit report for 10 years.
Ignoring the situation is the worst thing you can do so far as your credit is concerned.
2007-03-10 12:25:38 · answer #5 · answered by jim_elkins 5 · 0⤊ 1⤋
file for bankruptcy and they can't touch you. they are not allowed to even contact you for anything. it will show on you credit report but it can't hurt it to much more that the repo did.
2007-03-10 12:25:22 · answer #6 · answered by nbatch2006 3 · 0⤊ 3⤋
wait it out. they may try to take you to court.
2007-03-10 12:23:34 · answer #7 · answered by jadeekiss 1 · 0⤊ 0⤋