defaulted car loan? judgment?

Question

i was paying on a car loan- which i had defaulted on back in 2003, and started paying on again in 2005- to aug of this year
well we could not work out a way to continue paying with the bank- they just ignored us- we were wanting to make a reasonable payment so it could get paid off quicker, but they refused it and so we stop paying on it

now my question is shouldn't this accout go to a collection agency rather than the bank its originated from?
another question, i just recently stopped paying them for the second time, shouldn't they be calling me to work something out? because they have never called my house in the past couple of months after we made no payment, i thought they are suppose to get in contact with you to make arrangements on the payment before going to a lawyer

please don't give rude answers i want serious answers only
i know i should be paying on this, i don't need anyone to answer this if you are going to say pay your debt- thats what i am working on doing

their lawyer mailed me a paper saying to contact him within 30 days of the day i got the letter

i got it in the mail, not certified
and it says to send payments- thats meaning i can set up another payment plan- right? to the lawyers office

Answer 1

When you say defaulted, are you sure it is charged-off?
Go to FTC.gov, pull your credit report and find out the exact status of the loan.
The lender can do a number of things with a bad debt. Ignore it, collect themselves, hire a collection agency to attempt collection, sell the obligation, try to repossess the collateral.
They do not have to contact you or make any arrangements. There are some due dilligance rules related to early stage delinquency, ie sending dunning notices, and say attempting two phone calls, but that has more than been done.
Try to go to CCCS and see if they can help.
Or try to find an attorney to write a letter or make a call for you. The best solution would be to settle the account. Say you own $4,000, you offer $3,000, they list the account as settled with a zero balance and send you the title.
If you go this route, get it in writing.

Answer 2

1

Answer 3

1) There is rarely, if ever, a statute of limitations on the collection of a debt, so long as the creditor has been trying to make a recovery. 2) The state they are in doesn't matter in this case, since they sued you in the state that you live in. 3) It *might*. This is going to depend on some complex questions of Texas civil procedure though, and the facts of your case. 4) The statute of limitations is almost surely not out- especially if it's gone to collections, and was served on you last year. 5) When you were served with papers, that was your notice that you needed to find out the date from the court- not wait for them to contact you. The other attorney doesn't have a responsibility for keeping you up to date on your obligations. And as far as proof of the debt, they aren't required to "prove" it to you before you agree to go to court. You've been sued and served- it's up to the court to decide if you owe. There might be rules regarding discovery of evidence, but an informal request like that is unlikely to trigger them. 6) Your ONLY hope now is to contact an attorney and hope it's not too late for them to sort it out. With a default judgment entered against you, you may have waived any defense you had by not showing up to court.

Answer 4

My recommendation would-be to get a hold of a lawyer and ask him the same question. He will give you the best advice. Go here: http://servicesarticles.com/Ask-a-Lawyer.html
it's free to ask.












RE:
defaulted car loan? judgment?
their lawyer mailed me a paper saying to contact him within 30 days of the day i got the letter

Answer 5

that bank has the decision to use a collection agency or not. someone has to pay the collection agency and that is the bank. if you defaulted on your loan they have no obligation to contact you. my guess is that they are working on filing a judgement against you. you probably won't hear anything until the sheriff knocks on your door serving you papers to appear in court.