Question by Angela: Auto repossession laws and advice please?
Hello! I have a question regarding a vehicle repossession in Georgia. My car was repossessed in November of last year (2009) after I was 3 months past due on my loan. I lost my job and was in college full time and was unable to pay the payments. I tried everything that I could to avoid repossession, however I failed at all attempts. Anyway, I received a letter from the bank shortly after they got the car back that told me that they were going to sell it at a public auction unless I requested a private sale, etc. I did not respond to the letter because I had already tried to sell the car to no avail. I got a letter today telling me that they sold my car on June 30th at an auction for 1800, which leaves a deficiency of $ 4,352.30 that I owe in full within ten days or they will take further action against me. I was wondering what I should do, as I obviously can not pay them. I can barely pay my bills that I currently have. My husband and I are living with his parents, we share a car now and I do not work as I am in college. I graduate in three weeks (Nursing) and will get a job shortly after that (providing that I pass the boards). Would the bank be willing to wait until then? And even then, I can only do a payment arrangment. Also, I thought that the bank was required to tell me when and where the car would be sold so that I could come to the auction if I chose?
Thanks for all help in advance!
Best answer:
Answer by rick29148
No way to tell what the bank might do unless you ask them. They did what they were required by law to do, that they were going to sell it. They don’t have to tell you when & where, because they themselves might not know when.
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6 Responses
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Theneelster Says:
You don’t have any money so you’re stuck. If you could afford a lawyer you could challenge the auction sale by saying you never received the letter re: private sale (which you can do if the letter was not sent via certified mail or any other method that is tracked). The court would then assess the fmv of the car to a private party on that date and adjust your loan accordingly. But keep in mind…you’re going to end up owing money anyway.
How were you going to sell the car? You don’t have the title to the vehicle. So basically you were going to commit fraud to sell it?
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dick car guy Says:
sounds to me like you did not respond to the bank letter anyhow, what were they supposed to do.? Contact them and tell them or write a letter saying exactly what you wrote here, and tell them you will make a payment plan when you get a job. They cannot get money you do not have, if you communicate sooner, not later, it may not get taken to court and you end up with a judgment, which is what the bank will do next. Its good you are almost done with nursing, and have faith in your ability ok? the trials and tribulations of life, really suck sometimes, but if it doesn’t kill us, it makes us stronger, I am going to congratulate you on passing your boards, I want you to understand, faith, hope, and that mushy word love, are important to have, you have a goal, even when things got hard, you did what you had to do, you followed through, you persevered, and now you are almost ready to kick some butt!!!! once you pass the boards, getting a job, and keeping yourself there for one to two years to get experience, will give you the ticket you need to find a good well paying job. The first two years you have to suck it up and stick it out if you can do a two year hitch somewhere, that looks good on the resume. best of luck.
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Charlie T Says:
Laws vary by state, but if you had requested a private sale the they would probably have been required to post the time and date of the sale in about 3 different places. That doesn’t mean that you would have been notified even at that. The further action means that they will turn it over to collection. The collection agency will probably add about 30%. The 30% is not interest, its just a one time fee. They will work out a payment arrangements with you.
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shorty Says:
Your best bet is to try to work out a payment plan with them. They would probably accept whatever you offered because they know that it will only cost them more to try and collect it from you. They can also garnish your wages. In most cases repoed cars are sold at dealer only auctions which are not open to the public. I was at a dealer auction today and actually purchased a repo.
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Stupid Flanders Says:
You would have to call the bank to see what they would be willing to do.
I want to be honest with you, though. Banks are typically not very sympathetic when it comes to their customers defaulting on loans. I wouldn’t expect any favors from them.The bank is not required to tell you when and where the car will be sold. The car is their property, so they can do whatever they like with it.
If you don’t do anything, the bank will file a civil lawsuit against you for the outstanding amount and you will get court summons. Since this is a pretty cut and dry case, you will lose the case and will have to pay back the loan.
At that point, you may be able to work out a payment plan through the courts.
What is more likely to happen will be that the courts will start garnishing any payments on the loan on any current or future jobs until the loan is paid in full. -
n Says:
They know you cant pay it all in full and will likely set up payments with you.
But, if you don’t pay, like before, they can then garnish your wages and take 25% of your gross pay, off the top before any deductions.
First they would have to sue you and win a judgment.
Once they start garnishing your check, they don’t stop until the debt is paid in full and its futile to then ask for payment arrangements.
By that point, you would have had multiple opportunities and failed repeatedly.
You do understand what gross pay is right ?
Your income BEFORE tax and before ANY deductions for anything.
25% off the top from your employer before your check ever gets written.
