can no longer make payments, he owes 20000 more than what the car is worth (approximately 7000), if the car is auctioned off and sold for 3000, what amount is he still responsible for?
The answer to this question depends on what his loan documents say. More than likely, he would be responsible for the balance of the loan that is not satisfied by the sale of the vehicle. However, he should contact the company and ask them to work out a settlement with him with payments he can afford. Otherwise, the company will likely get a judgment against him. If that happens, he can still work out a payment plan to pay the judgment. It's better for him to work it out before it goes that far.
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The Overstreet Law Firm
2100 N. Main, Suite 228
Fort Worth, TX 76164
Phone: 817-810-9747
Email: rdolaw@gmail.com
https://www.theoverstreetlawfirm.com/
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