Legal Question in Credit and Debt Law in California

car loan

what options does one have if they can no longer afford to make their monthly car payments

Asked on 3/07/09, 3:04 pm

2 Answers from Attorneys

Joshua Swigart Hyde & Swigart

Re: car loan

You can turn the vehicle in or wait for them to repossess it. If they repossess it or it is voluntary they will then auction the vehicle off and attempt to hold you liable for any deficiency. Depending on how this is accomplished you may not be liable if they do not fully comply with 2983 of the Civil Code

Read more
Answered on 3/08/09, 3:52 pm

Robert F. Cohen Law Office of Robert F. Cohen

Re: car loan

Call the lender and see if it could work with you either by lowering the payments, stretching them out, or in some other way. If you were to surrender the car, the lender would auction the car and eventually obtain a judgment against you for the difference between the remainder on the loan and the auction value("deficiency"), for which you would be responsible.

Read more
Answered on 3/07/09, 3:15 pm

Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in California