SOLs for auto loan

[pantherfan]

What is the name of your state? South Carolina

This is alittle confusing. I now live in SC and am being threatened with an attorney (the contact us in 7 days from the date of the letter, July 19, 2004).
I had an auto loan in Tennesse (where the contract was sign and the contract states that" Seller is assiged to Mercury Finance of Tennesse"). I was living in Kentucy when the car was purchased (in the military just across the state line). I made 3 or 4 payments and was seperated from the service (could no longer afford the payments). The contract was signed in May 1996. My question is, what state can Mercury Finance use? From all the web seaching I have found the SOLs for TN is 6 years, SC is 10 years & KY is 15 years. The balanced owed is $7358.12. Two more questions.
1. Could this be a bluff tactic for a debt that is beyond the SOL in the state it was signed (Tennesse).
2. Would an attempt to settle for around half be worth a shot?


Any help would be great!

 

[Ladynred]

Waving at ya from Nashville - used to live in Clarksville !!

How long ago did you make the last payment ? That is when the SOL would come into play, not when you signed the contract.

SOL in SC is NOT 10 years, its 3 for a written contract and credit cards. Its 10 years for a JUDGMENT.

SOL in KY IS 15 years for a written contract.

IF they sue, they must sue where you live NOW or where the agrement was entered into - TN. IF they sue, they would probably sue you in SC because that's where you live NOW and you'd use THAT SOL in your defense. Suing you here in TN would mean more trouble and money spent to move the judgment to SC.

1. Could this be a bluff tactic for a debt that is beyond the SOL in the state it was signed (Tennesse).

Its quite possible, Yes.

2. Would an attempt to settle for around half be worth a shot?

Might be, depends on the SOL issue. If its expired, I wouldn't offer them anything as paying it will not help your credit one iota. If its old, but SOL has NOT expired, start lower than 50%, they paid pennies for the debt, why pay them so much more ??

 

[pantherfan]

Thanks for info!

Thanks for your advice. I am on the same train of thought. As, I said I only paid 3-4 payments. I would say no later than November 1996. It is at least 7 years old. I was concerned they would use KY or SC. I did not realize SC was 3 years written contracts all the sites I have seen have said 10 years (for SC).
I'll see where it goes from here ( gave 7 days and I did not recieve the letter until the deadline has past). As, they made the threat, that it would turned over to lawyer in my area.
Thanks again. If you don't mind me asking where you seen that SC was 3 years on written contracts, anymore info would be great. Thanks again.

PF

BTW- Nashville was a very nice city. I miss TN, sometimes (just not the tornadoes). To many close calls in Clarksville