Legal Question in Credit and Debt Law in Illinois

Loan defaulter's individual rights.

Dear Sirs:

I accept that I have defaulted on a loan. However, I did try to pay. I had an agreement with them that I would pay a fixed amount, once a month. I made two payments, and received a call stating that I had paid too early, and my involvement in the program was cancelled�

I have been harassed, I have been belittled. When I called back to speak to the man who set-up the agreement, I was told he no longer worked in the department. When I asked if there was a record of the agreement, I was told that there was none�

What are we to do? I am unemployed, not by choice, but I can accept my situation. That is my business. I was called today, and was asked, "how was I supporting myself?"�

Well, I'll tell you why I'm concerned. I am almost debt free. My only possession is my car, which is paid for. My question is: Can they take my car?�


Asked on 4/02/98, 8:50 pm

1 Answer from Attorneys
Stuart Williams

Not enough info.

What kind of loan? Who was it from? (How much for and how much was paid already and how much interest is there?)

What is the value of your car? Is it needed in your business? You sound like you have a business but no customers at the moment; is that right, or are you normally an employee of someone else and have no job now?

What do you mean by harassment ... asking if you have a job? Or something else?

The verbal agreement (apparently for a work-out arrangement? Please explain it!) is probably "gone" though you could possibly find out who used to work there and where he went and ask him what he remembers agreeing to with you; that could help resurrect it.

Please repost the question but with more facts. If you want sympathy, you have it, but if you want information, you need to give more to get more!

Real creditor harassment (calls very often or at bad times e.g., when they know that your schedule has you sleeping) is usually illegal.

I believe (but I'm not sure) that a car which is not a luxury car cannot be attached, partly on the theory that it is a tool (transpo for commute) for earning the money to pay back the creditors! However, if your debt was related originally to a car accident, your license could be revoked if you don't pay up, maybe.

My knowledge is limited to my state's laws and a little smattering of federal law (which is probably inapplicable here); you need to get an attorney qualified in your state's debtor protection laws. I'm also not allowed to give you advice about your state's laws.

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Answered on 4/16/98, 10:59 am


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