Legal Question in Credit and Debt Law in Florida

My wife and I took out a boat loan several years ago. The market value of the boat is today considerably less than the payoff amount of the loan. Our financial resources and cash flow have been severely impacted by the economic downturn. I simply cannot continue to make the future payments and have been unable to find a buyer for the boat. I am current on all obligations. We are retired and receive our income direct deposited to our respective banks. Our only other assets are our homes in Fla. and NC. If I default on the loan, the lender will repossess the boat. Can he also sue us for the balance of the note, garnish our respective checking accounts, and place a lien against our N. Carolina home? Finally, what will happen to our good credit rating?

Asked on 8/20/09, 10:38 pm

Edward J. Chandler Law Office of Edward J. Chandler, P.A.

0 users found helpful

0 attorneys agreed

The creditor can seek judgment and enforce it in both states, and also report it to the credit reporting agencies.

Answered on 8/21/09, 7:26 am

Keywords

Match Any Match All

Country

State

Area of Law