What can collection agency do to me and my life, if I owe on car that was repossessed???? I live in TX....
2007-03-24 16:33:22 · 3 answers · asked by Inna A 1 in Business & Finance ➔ Credit
What they can do depends on a few things and since you didn't mention much, it's hard to say exactly what they can or can't do. I can only mention a few things:
Repo SOL for collections falls under the UCC for a 4 year SOL. The SOL starts to run on the day the vehicle was sold creating the deficiency.
If the original creditor failed to provide all of the required notices before and after the sale, the person who picked up the car broke the peace and you have proof, the original lender failed to sell the vehicle in a legally timely and reasonable manner - the repo would be considered an illegal repo and no deficiency amount should be requested.
If the repo was handled in a legal manner throughout, and you are still within the collecting SOL, they may try to sue or they may just continue to try to collect until the SOL runs.
If they sue, they cannot garnish wages in Texas.
You might click on my profile and go to the last link I have listed. There are plenty of threads about repos, do some reading and if you have questions feel free to ask in there.
2007-03-24 17:56:25 · answer #1 · answered by echo 7 · 0⤊ 0⤋
The repo goes on your credit record for a minimum of 7 years. You owe the repo company for their fees for having to come get the car. That is a legal and just debt and must be paid...if you do not pay it, that too can be an adverse report on your credit. They cannot harass you. If you get a call from them, you can tell them they are not to contact you by telephone. You can specify that they may only contact you by mail or through an attorney.
They can do nothing to you physically and they may not contact your employer. They can get a judgement against you in court and have your wages garnisheed. That can have adverse effects on your continued employment.
Also, if the car you had is sold, you owe the difference between what you owed and what it sold for. For example, if you owed 10,000 on a car, it gets repossessed and sold for 4000, you still owe 6000...not a good deal but legal.
Think about it.
2007-03-24 23:46:33 · answer #2 · answered by Jim G 4 · 1⤊ 0⤋
well since your credit is ruined anyway you have 2 choices
1. file bankruptcy and write it off
2. let them sue you even if you go to court and lose you can appeal, most companies don't have the time or money to fight an appeal.
2007-03-24 23:48:14 · answer #3 · answered by iseemen 5 · 1⤊ 0⤋