| Author: |
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Debbie |
| Date: |
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September 26, 2002 |
| Question: |
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If you have a vechile for security and the bank repos it and sells it at a auction and only getting a couple of thousand of a $27,000.00 loan, is the rest of the loan secured or can that be put into bankruptcy? What can they do to collect the rest of the debt? I have offered the collection agency a lower payment and they refuse to take it. The guy there is really rude. He has called me a liar. Also, how can I find out about some law that says seize or sue?
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From: |
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Ann Clarke, Collins Barrow Limited |
| Date: |
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September 26, 2002 |
| Answer: |
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If there is a balance left after the bank has sold a vehicle, that debt is unsecured and will be covered in a bankruptcy. To see whether your vehicle loan was a conditional sales contract (quite rare these days) you should review your original agreement with the bank, which will indicate if they have the right to come after you for a deficiency.
Ann Clarke
phone: (403) 296-2972
aclarke@moneyhelp.ca
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