Full question:
My husband and I have been served papers by the ford motor co. for a 1996 ranger we volunterily, returned last year. We of course have a long and specific reason for the return and believe we should not be held for the monies difference in the auction of vehicle. Can we retain a lawyer to represent us for any wages or monies we might receive?
- Category: Civil Actions
- Subcategory: Liens
- Date:
- State: Florida
Answer:
Turning in the car might not relieve you of your financial responsibility. The answer will depend on whether the company gave you a release from remaining debt when you surrendered the car. When using a voluntary repossession, the lender will sell the property at auction and the proceeds will be applied to the balance of your auto or mortgage loan and the fees that will be involved. If the balance is not paid off you'll be informed of the balance and that you are still responsible for paying it off. If there is money left over after the loan balance and all fees are paid, don't expect to get any of the profit as the company can legally keep it. The deficiency balance is the difference between what you owe on your loan and what your creditor receives from selling the vehicle. Creditors will still be allowed to sue you for a deficiency judgment to collect the remaining loan balance or deficiency balance.
If you can't pay the deficiency, the lease finance company will have to decide whether it will seek a court judgment against you. You might be "judgment proof," meaning the company doesn't have any real prospect of collecting that judgment. I suggest you consult a local attorney who can review all the facts and documents involved. Please see our attorney directory at the link below:
http://lawyers.uslegal.com/general-practice/florida/
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.