Can they take my car?

Question

Back in may of this year i filled out for what i believed to be a personal loan from eloans,i was approved and used the money to buy a car.About a month after having it,i ended up losing my job and had to go out and work for a moving company out of town most weeks for a few months.I ended up defaulting on the loan,and when ive had the chances to call to try to make payment plans with them to get caught up,ive been dissrespected and treated like an idiot.I go from one supervisor to the next.Noone seems to want to help me.Either way i got the title for the car about 1 month after i got the car.I recieved a clean title from New York State DMV saying it was my car and there wasn't a lien on it.Now I guess Citifinancial Auto bought the loan from eloans,they still wont make a payment arangement with me,and there trying to take the car.They had investigators come talk to me,and they were saying they're trying to find out whether or not im frauding the company,because im trying to sell the car

Im trying to sell the car so i can get money to get in a new apartment and get caught up with my bills and that loan if they'll make some kind of payment arrangement with me.But either way,how am i trying to defraud them?I recieved the title,without a lien,ive been informed that it doesnt matter how you have a title,but if you have one in your name with no lien,you are the legal owner of that car no matter what.But now citi is trying to tell me it was secured on the car and i need to give it to them.When its in fact clearly owned by me.The
"investigators/detectives" i talked to had both me and the car where i was talking to them,if they could have done something they would have done it right?Im not trying to defraud anyone,and i think its more harassment that they're not trying to work with me,and there accusing me of fraud.

There is NO lien on the car.And its in my Name.
Nothing about the company on it,and nothing about a lien.My mom had a title when she was financing a car in new york,and it listed her name,but it had the bank she financed through as a Lien Holder.
Mine has no Lien,just me as the owner.

Answer 1

well a loan company owns the car until the loan is paid off. It doesn't make sense that you got the title if you never paid off the car...usually when you get a loan the title will go to that company...(but maybe the law is different in my state) and yes if you still owe them money they can take the car because essentially they own it...also is the title in your name or the companies?

Answer 2

It sounds like you had what is called an "unsecured" loan. It means there is no collateral or actual property that can be taken in the case of default. If you have a clear title with no lien holder shown you own the car and can do whatever you wish with it. They cannot take it or force you to do anything with it. What if you had used the money to buy a house...would you be expected to sell it? Just contact the company and try to make amicable arrangements to pay the loan off. If that cannot be done, see a not for profit credit counselor for help.

Answer 3

Read your paperwork for the original loan carefully. I suspect that there is a clause in there about using the borrowed funds to buy a car. Banks do not like this since they would rather initiate an auto loan rather than a personal loan for a car. You usually get a lower interest rate and the bank gets an asset they can attach until the loan is satisfied. I suspect that this is what they mean about fraud. If you signed paperwork saying that this loan was not for a car and then used the proceeds for a car, you have actually committed a crime. Check that out.

Answer 4

What I don't get here is the "they won't make a payment arrangement with me" part.

Are they refusing to let you pay off the loan on the original payment schedule? Or are they refusing to lower your minimum payment?

Can you afford to pay off the loan under the original terms? If so, I'm pretty sure you're entirely in the right here. It might be lawyer time.

If you HAVEN'T been paying the loan, at all, and have been just waiting for them to lower the payments, then you are in the wrong. I'm not sure what the title being granted in error (because I'm sure it was...there should at least be a lien on it...though it is their fault if they haven't put a lien on it) means, though.

I say sell it and pay off as much of the loan as you can with it. You might have to postpone the new apartment. I'd say put these guys (I hesitate to say assholes, because your story doesn't really make 100 percent sense) behind you.

Answer 5

They are simply going after your assets, not because the loan is linked to the vehicle. You probably listed the reason for the original loan as wanting to buy a car and a judge may accept that as enogh evidence to allow them to repossess it. If the amount of the loan is less than the value of the car, use it for collateral to get another loan and get rid of these jerks. The longer you wait, the more it is going to hurt your credit rating and that will stay with you for years. It may already have damaged your rating such that you can't get another loan. If so, sell the car and start paying them something each month if you can't pay off the whole debt.

Answer 6

I would get your paperwork together and read it all. If your loan was for the car than the state messed up or the lender? If your loan was a personal one than ther is nothing that they can do but hurt your credit. I would figure out what you owe and call them with a OFFER and talk to someone in collections. Write down who and when you talk to them. Tell them that you need a letter of DELETION before you pay up and have the money in hand. Low ball them you would be amazed just what they will do to settle some out standing bills.

Answer 7

They cannot refuse payment. Plain and simple.

If you indeed owe money on it, then you need to pay it off on your own... no one in their right mind would buy a car with a liened title.

Find Citifinancial account number, and start sending them as much as you can. they can not refuse it.

You know you owe the money, so pay up.

Trust me, they are having huge issues with mortgages and car loans going into default, they will work with you.

You cant sell the car. If you do, and knowing you owe money on it, you will be looking at more liabilty and MORE serious too.

Answer 8

hi from what i can gather the loan company aint got a leg to stand on if it was a secured loan then the finance company have a legal right to take back what the loan was secured on if it was a personal loan then they dont have a say what or how the money was spent. the best thing to do is check the paperwork to see if it is secured or not

Answer 9

no lein means it's legally yours don't hand over the title it is a scare tactic if you do they could take it and you still owe them the money, just sell it and give them there stinking money

Answer 10

I WOULD NOT SELL THE VEHICLE BECAUSE YOU STILL OWE ON THE ORIGINAL LOAN AND BY LAW YOU DO NOT OWN IT.