QUESTION
New jersey car repo - bill for deficiency amount
Asked on Jul 28th, 2017 on Collections - New Jersey
More details to this question:
About 2 or 3 years ago my son did a stupid thing cosigned for a car for female coworker for upwards 17000. 2010 Toyota Prius through Toyota Financial Services. About a week later woman quits job and dropped my son as a friend. She made payments for awhile but car was repo April 2017. My son now received a bill for 9300. His mail comes to my house for this because he moved out but Toyota did not have his new address. He received notice car was goingto auction after certain date. He did not receive notice of exact date or where. Is this a defense or should he try to settle this for a reduced amount and then sue the woman for it? He works part time now but has some savings. Will they sue him for this and take his savings and his car.
1 ANSWER
Anthony Van Zwaren
If there is a deficiency in the sale proceeds against the remaining value of the loan then the bank or finance company can sue your son as a co-signer, since he is jointly responsible for the loan. He also can sue the ex-girlfriend if he knows where she can be served. Optimally, he may be able to settle with the creditor for less than the full value, but it would be better to do that before than after any lawsuit because then attorney fees and court costs get added in. Contact an attorney.
Answered on Aug 04th, 2017 at 11:16 AM