i had a car repo 7 years ago and they are just now contacting me and harrassing me about it. i owed 11,000 dollars then, and now they say i owe 18,000 dollars. i haven't heard from them in about 4 years until now. my ex husband was the co signer on it, and i divorced him in 2000. I haven't even talked to him since. i don't know what to do, right now i am unemployed and 8 months pregnant. any suggestions on what to do?
2007-07-16 17:25:10 · 5 answers · asked by mrs garfield 5 in Business & Finance ➔ Credit
A creditor/collector can always file a suit at any time.
It is up to the person to use an affirmative defense of SOL if a time barred suit is filed. Or, to inform the creditor/collector that the account is time barred before a suit is filed.
A repo voids the original contract. That means the collecting SOL for the deficiency falls under the UCC - specifically UCC Article 2, § 2-725(1).
That gives repo's a 4 year collecting SOL that starts on the date the vehicle was sold creating the deficiency.
I would suggest clicking on my profile and click on the last link I have listed. It is a free credit discussion board with a ton of info on it.
Go to the Credit Forum and ask your question in there.
Also, you will be able to find a sample repo letter template that you can use to send to them. (which basically tells them the collecting SOL has passed and they cannot legally expect you to pay)
2007-07-16 17:43:24 · answer #1 · answered by echo 7 · 2⤊ 0⤋
They can harass you until the end of time if you owe them money. Your best bet is a settlement. You must remember when you have a repo they sell the car at auction. The never get what you owe for the car, so that means you have to pay the deficiancy balance. You owe more than that because it has been 7 years of interest and penalties adding up. Check your divorce decree. If you were the primary on the loan and you have a hold harmless agreement you can't get anything from your ex...but if there is no mention of your debt being yours and his being his...you should be able to force him to pay some of the debt too.
Check this website out, they have great recomendations for dealing with creditors:
http://www.creditinfocenter.com/rebuild/
2007-07-17 00:38:55 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Depends on the statute of limitations in your state. Seems that your old debt was sold to a collection agency, so they are trying to collect it. I'm sure the original creditor has already written it off and therefore can't collect it from you.
The only thing they can do to you if it is a valid debt is report it on your credit report. Then you simply need to write a letter to each of the credit reporting agencies and ask them to validate the debt and remove it as you don't owe it. Most likely the collection agency won't be able to provide the documentation required by law so it has to be removed from your credit report.
2007-07-17 00:46:13 · answer #3 · answered by Iknowthis! 3 · 0⤊ 1⤋
Don't talk to them, and whatever you do, don't send them any money. Let them take you to court. The only thing the Judge can do is order you to pay so much out of your income, and since you don't have any......
2007-07-17 00:38:17 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Auto finance is what I do for a living and Echo is correct.
Good job Echo, I could not have said it better.
2007-07-17 09:21:13 · answer #5 · answered by ? 7 · 0⤊ 0⤋