Judgment in collections

[JJsMom]

What is the name of your state?What is the name of your state? California
I went to court on Jan, for a car repoed lawsuit. I agreed in court to make monthly payments of $100 for six months, and then refinance to pay them off. I've been making my payments on time, but I have not refinance yet. I received a call from a collections agency, threatening to garnish my wages and foreclose my property if I don't pay them off. I've just started the process to refinance, but that's not good enough for them. They asked me to send them a postdated check for the full balance, and promissed they're not going to cash it till 09/25. I'm not sure if they have the right to do this, don't we have to go to court again? Nothing was mentioned in court about what will happen if I didn't refinance by june.

 

[Ladynred]

No, they do not have to go back to court. Essentially you have renegged on your agreement by not refinancing when you agreed you would. However, they can NOT foreclose on your property unless they also have a lien against your home - and even then, its not that easy and not that likely. Your mortgage lender would have to be paid BEFORE anything they would get. Then they'd also have to pay you your exemption amount. IF there's anything left, then they'd get paid. Its a long process and its unlikely they'd actually go that far.

Don't let them intimidate you into doing something you can't afford and absolutely do NOT agree to let them draft anything out of your account -they'll drain it dry. Demanding a post-dated check is a violation of the FDCPA and they ARE bound by that law in this situation.

Make your payments, get your refi, and ignore their stupid threats, don't let them bully you - that's what they do to scare people !