Tim,

I really need help. I had my car repossessed because I could just not afford to pay the payment.

The cars book value was around 12,000 dollars. We received a letter stating that they sold the car for 6,500 dollars. And we owe the balance which is almost $10,000.00 dollars.

Originally when we bought the car we owed to much on the car we traded in, and they just rolled the negative equity into the new car. Now I've been served with papers to appear in court, I can't afford to pay a lawyer let alone the balance on a car I know longer own.

I live in Arizona. I'm not sure how much information you need. But this is just one of my money problems.

Please try to help me.

Thank You very much

KC

KC,

The $10,000.00 bill from the bank and/or finance company is called a deficiency balance, the difference between what you owe and what the auto was sold for. The court papers you were sent will make it possible for their attorney to get a judgment and that could lead to taking your bank account, a wage garnishment and your home if you own it.

The car's book value has nothing to do with what they sold it for at the lien sale or auction, as long as it was properly held consistent with your states laws, and you were properly notified before the sale.

You say you cannot afford to go to an attorney. This is precisely what you have to do immediately!

Call your local County Bar Association and explain that that you are being sued and need a referral to a PRO Bono Law Firm, (Free or very low cost) if they can't help go to the courthouse and ask what agencies are located in the area that can help you.

With the limited information you sent an attorney would probably suggest bankruptcy.

Good Luck let me know the outcome.

Tim

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