Legal Question in Consumer Law in Texas

My insurance lapsed but my car payment was paid. My question is, is it legal for a preowned car dealership to use your car payment as reimbursement (deduct from) because the company placed the insurance on the car. It inturned made it look like I didn't pay my entire car note in full. It continues to put you further behind.

Asked on 11/28/12, 9:04 am

1 Answer from Attorneys

Donald McLeaish McLeaish&Associates;, P.C.

most financing requires buyer to keep insurance current or lender buys insurance and it becomes a lien on the the car..simple answer...YES

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Answered on 11/28/12, 9:15 am

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