• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

cosigner on loan

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.

2

2broke

Guest
Approximately 2.5 years ago, I cosigned for a car for a friend of ten years. About three months ago, I started to receive notices of delinquency. I tried to contact my friend to see if he was having problems, but he wouldn't return my calls. I tried to go to his house, but he wouldn't answer the door. Now, the credit union is threatening to garnish my wages. However, with further research, I have found that the vehicle hasn't had plates or insurance in 1.75 years. The credit union doesn't want to repossess the car. The car does show evidence of being hit and scratched. Unofficially, local police have said that I can take the car as my name is on the title because I cosigned. Do you have any recommendations as to what my rights are in this situation? Any guidance you can offer would be appreciated. I am in Michigan.


[Edited by 2broke on 02-01-2001 at 04:46 PM]
 


H

hannah jo

Guest
Before you go taking the car, you should be sure your name is on the title. Simply co-signing a loan does not ensure this has occurred. You can be co-owner of the debt, but not of the vehilce itself. You do have an obligation to pay the loan off if the signer defaulted and youare the cosigner. You can then sue the other party for reimbursement or for the vehicle.
 

HelpSOS1

Junior Member
Cosigned in CA

2broke said:
Approximately 2.5 years ago, I cosigned for a car for a friend of ten years. About three months ago, I started to receive notices of delinquency. I tried to contact my friend to see if he was having problems, but he wouldn't return my calls. I tried to go to his house, but he wouldn't answer the door. Now, the credit union is threatening to garnish my wages. However, with further research, I have found that the vehicle hasn't had plates or insurance in 1.75 years. The credit union doesn't want to repossess the car. The car does show evidence of being hit and scratched. Unofficially, local police have said that I can take the car as my name is on the title because I cosigned. Do you have any recommendations as to what my rights are in this situation? Any guidance you can offer would be appreciated. I am in Michigan.


[Edited by 2broke on 02-01-2001 at 04:46 PM]
:mad: I too coigned for a so-called friend in 2003. Same thing happened to me, I started getting delinquency notices and then in late 2004 he claimed bankruptcy. I got stuck with a vehicle I didn't want and a payment I couldn't afford. I couldn't sell the vehicle so finally the bank repossessed it and sold it for less then the owed amount. Now I'm stuck with an $8k bill (late fees & interest. Ouch!). Can I still take him to small claims court? :confused:
 

BL

Senior Member
There is a notation to State your State .. Posters

What is the name of your State ...

Look up your State's SOL .

Then look up Small Claims Limitations for your State .
 
Last edited:

HelpSOS1

Junior Member
Cosigned in CA

Blonde Lebinese said:
There is a notation to State your State .. Posters

What is the name of your State ...

Look up your State's SOL .

Then look up Small Claims Limitations for your State .
I thought my title would be good enough :rolleyes: . Cosigned in CA (California)
What's SOL? :confused:

Found it! statute of limitations. Thanks for the help.
 
Last edited:

racer72

Senior Member
HelpSOS1 said:
:mad: I too coigned for a so-called friend in 2003. Same thing happened to me, I started getting delinquency notices and then in late 2004 he claimed bankruptcy. I got stuck with a vehicle I didn't want and a payment I couldn't afford. I couldn't sell the vehicle so finally the bank repossessed it and sold it for less then the owed amount. Now I'm stuck with an $8k bill (late fees & interest. Ouch!). Can I still take him to small claims court? :confused:
If you were listed as a creditor in the bankruptcy filing, you cannot sue. And the $8000 far exceeds your state's small claims limit. It is $5000.
 

HelpSOS1

Junior Member
Cosigned in CA

racer72 said:
If you were listed as a creditor in the bankruptcy filing, you cannot sue. And the $8000 far exceeds your state's small claims limit. It is $5000.
I am aware of the $5K limit :( , but how do I find out if I was listed as a creditor in his bankruptcy? I know who his lawyer was, if I call and ask ,Can they give me that information? :confused:
 
Last edited:

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top