HELP - Need info QUICK

[nanademi]

What is the name of your state?
Texas

My father recently voluntarily returned his vehicle to the noteholder as he could no longer afford the payments. As usual in these situations, when they sold the car to try to recoup their money, there was a balance remaining. I have no doubt they will probably file a lien. Dad is trying to do a refi on his house to be able to pay off some things, he does intend to cover the balance owed on the car, but to be honest it's not on the priority list given that the car has been surrendered and is gonna crash his credit.

My question is this - if this refi goes through, does that noteholder have the right in Texas to dip into his bank accounts & 'force their way to the front of the line?'
Any light you could shed would be appreciated. & I need this info just as quick as you can.
Thanks,
nanademi

[Ladynred]

They can't do squat until they sue him and win a judgment FIRST - and that takes time. However, its likely the debt will show up on his credit reports. If it shows up before he can close on his refi, the bank is likely going to insist it be paid anyway.

[bigun]

I'd agree with LIR though, we have seen some instances where there was a pretrial freeze of bank accounts in Tx.
To do this they have to intend to sue him and it may be some time before that happens {if ever}.