I repo my car?

Question

I don't know what I should do. I had my car repo. I did this cause of my financial status. Well, getting to my point. I repo my car, GMAC sold the car. The total of the car I had left is
38K around there and GMAC sold it for I think it was 19 K. Now they asking me to pay the remaining of around 20k something like that include the towing cost and all the other charge. In this case what should I do, pay for it or what?? I don't know anything pretty new to all this. If I have to to pay for this.I don't think I can, due to my financial status. It was a big mistake I ever done. I mess up my credit and all. Your response is greatly appreciated. Thanks....

Answer 1

What you now have is a "deficiency" balance which is still owed by you. Should you decide not to pay it the creditor will seek and obtain a judgment against you. When the judgment is awarded everything of value in your life is fair game, ie: garnishment of wages, seizing of assets such as checking and savings accounts, cd's etc. If you own any real property such as a home or another vehicle a lien can be placed against them as well. Most creditors won't go to such lengths to recover a deficiency balance and will charge off the balance. If your account with GMAC is sold to a collection agency however expect a renewed collection process to begin. Your best bet is to talk with a GMAC rep and work out a payment plan that you MUST adhere to in order for this action to stop.

Answer 2

If they haven't sued you yet for the difference, they will, and they will win. The best thing you can do is get all your budget (all debts and all income, along with your house expenses) down on paper, take it with you to them and try to negotiate a repayment plan. Sometimes, they will negotiate a settlement instead of the whole sum, if they think they are not going to get anything. BUT "whatever" you do, DON'T give them access to your accounts or post dated checks. They will clean you out. And get the agreement in writing, that they will accept the agreed amount for payment in full Without Recourse, before you give them any cashiers checks. And be sure to keep copies together with the written agreement for the rest of your life, because it WILL come up again later and you need to have the proof of the contract.

Actually, when they sue you, the lawyers are easier to negotiate with, because they have some common sense, and are not just an idiot in a cubicle, like the collection people.

Answer 3

Call the company you owe the money to--speak to a real person...or go to an office if they have one. Dress nice and explain what your money issues are--they may help you here.If you talk to a person on the phone get their name. Talk like an educated person--explain your money issues and tey will try to work out something. You learned a lesson--never get a car you can't afford. Never get into a loan situation that might be a problem in the future. If you can't get a car that you can pay off in 3 years--go cheaper or go used. You didn't hurt your credit that bad--calling and explaining will help a lot in this case. Talk nice and accept the help they offer--they extended the money to you and they want it repaid...that's the agreement...and you do owe them the money. Any attempt to pay is better than none--that's the law---try to get the money arrangements settled and be on time with the money. Make sure they record your call or make very good notes about this issue. Save any and all written stuff about your loan--ask for a letter that will confirm the new agreement...it is proof of your intention to work this out. Good luck

Answer 4

Perhaps see an attorney about something to do. But for future reference, perhaps stick to what I stick to doing - only writing checks for cars. That means buying something cheap and fixing it yourself - it pays off. And that seems to be your only option now for transportation, once you have a way to pay back the money, if you still have to, then look for a very inexpensive car.

Answer 5

As far as I'm concerned they took your car, end of story. If they sold it for less than what is worth that's their problem not yours. They'll always try to put that back on you....fight them. Any lawyer will tell you that it's their loss.........you may have to pay the charges for the repo, late fees, and what not. But not for the huge balance they decided not to sell it for.

Answer 6

I would contact an attorney ASAP. It might cost some money, but you need professional advice here - not input from a bunch of guys typing on Yahoo when we should be working. A lawyer will help you determine your best move. You need to think about the future here.