Chapter 7 consigner & Creditors Help!!!!

Date: Thu, 10/25/2007 - 12:51
Submitted by on Thu, 10/25/2007 - 12:51
Posts: 202330
Credits:
[Donate]

Ok i filed chapter 7 like two or three years ago. and i have turned in my car that my grandmother was a consigner, so now the company wants $20k for the car and they are threating my grandmother. Telling her that they are going to take her house, and prosecute her to the highest of the law. But my grandmother doesnt work she gets a social security check and her home is not in her name. I dont have a problem paying but i just feel like $20k that there asking for is outrageous because they sold the car. When i got the car it was only $25k. So how is it going to still be $20k that i owe if they sold the car. What can i do because i dont want my grandmother getting into any kind of legal problems because of me plese help!!!


By law, when they sell the car they are required to provide a notice stating how much they sold the car for and any remaining (deficiency balance). Since you included the account in BK, they should have at least given this notice to your co-signer before attempting to collect it.

Also they should have bids in your file. If public auction then they should have an auctioneer's receipt; or if private sale, they should have at least three signed bids.

If you can prove they didn't obtain bids, then your grandma can use that as a valid defense if they try to sue her.

If they legitimately sold the car and have evidence of it, I'm sorry to say that your grandma may be responsible for the balance. However they cannot take a house that she doesn't own, and they cannot garnish her social security.


Submitted by DebtCruncher on Thu, 10/25/2007 - 15:12

DebtCruncher

( Posts: 2293 | Credits: )