what is the best way to keep the car and get rid of the char

Submitted by 21angelo22 on Sun, 01/31/2010 - 07:51
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hi i am in a real bad situation ok about 3 years ago i took a car out for my brother in my name that was my first mistake but back in october he lost his job and has not made payments sice then i have to find this out too late and the account has charged off in january so now compass bank is trying to take me to court. the only options they are giving me is to turn the car in and have it autioned off and pay the remainding balace. come u with the 9950 to pay it off completely the car is a 2004 grand am with 130000 so its only really worth maybe 2000 at most. and if i dont react they are going to send it to theirlegal department and sue me in court. someone please help

How did you get a title to his car with the lien on it? did you agree to take over the loan? But how could that work when it was charged off.

Sun, 01/31/2010 - 16:04 Permalink

I can not see how you would have the title either but that set aside you really need to see if your relative will help work with you. My husband once had a repo many years ago and I can tell you from personal experience that it is a pain.They sold the car to auction and got a lot less than what we owed. We ended up with the mark on our credit record and the collector at our door. We eventually used our income tax to pay the remaining amount and they agreed to remove once it was paid. Be sure to get in writing any pay for delete. We did not at the time but the bank held up their end of the deal luckily.

Sun, 01/31/2010 - 22:06 Permalink

I think you should focus on the legality of this transfer. I don't think you can transfer a title with an outstanding loan.

Sun, 01/31/2010 - 22:28 Permalink

Hi Angelo,

What you need to do is contact the creditors and talk to them about the situation, that you were unaware of the debt because, you were not the person supposed to pay the dues. Add that you would like to pay but it won't be possible to pay the whole amount. Request them to modify the loan. Creditors generally settle with their consumers rather than taking the matter to court.

In the meantime you can save some money by lowering your expenses and can sell the car too. This will at-least, help you in starting off to pay the dues.

Mon, 02/01/2010 - 07:47 Permalink

we are not talking about dues. there is a defaulted loan. we need the OP to come back and explain the sale. They can't modify a loan if the bank never had a original agreement with you.

Mon, 02/01/2010 - 10:53 Permalink