I cosigned a car loan for my daughter. It was repossessed. My husband has a savings account for our profit we make on our farm from the sell of cows. My name was added on that account in case something were to ever happen to him. All of the sudden with no warning the bank withdrew $17,000.00 from my husbands account! That was more than the loan, they didnt deduct the $6,400.00 they sold the vehicle for and I was the cosigner. Not my husband. He put all the money into that account over a 6 year period and had nothing to do with that loan. Is there anything that protects him?
2 Answers from Attorneys
Yes. I'd be happy to sue them and represent you on a contingent fee basis if you wish and if the documents support the facts as you have described them.
If the bank account was titled in both of your names, as husband and wife, the law presumes that the two of you own it as "tenants by the entirities". If so, it would not be subject to garnishment upon a Judgment against only one of you. Your husband may be able to sue the creditor for "wrongful garnishment". It is possible that you signed some legal document when you "co-signed" the loan that may effect this issue. It may also be possible to hire an attorney to present the facts and the law to the creditor's attorney, and obtain a refund without filing anything in court. If so, it would not make sense to pay an attorney one-third of the amount recovered. Many attorneys should be able to help upon receiving a retainer fee and working on a flat fee basis or an hourly basis.