Legal Question in Credit and Debt Law in California

I have a close friend that just told me that her ex-boyfriend got into an accident on a motorcycle. However, he was not at fault with the accident but the motorcycle was a total. The original loan had my friend's name as well as her ex-boyfriend's name. For some reason, the motorcycle was replaced, financed and her name was included without her being present when this was done. Requesting for some guidance on this matter. Is there anything that can be done on this? Will really appreciate any help. Thanks in advance.


Asked on 9/09/10, 5:15 am

1 Answer from Attorneys
Steven Simons Law Office of Steven A. Simons

Many motorcycles in California are sold based upon a personal line of credit rather than as a secured contract as we see in most auto finance loans.

The first step is to determne if the lender had a new finance contract or just rolled over the old contract (This is often referred to as a substitution of collateral). In the later case there are many issues that arise.

If it is a new contract then the issue is wether the lender pulled your friends credit on the new finance contract without permission. This could be a credit/privacy violation.

I would start by having your friend request a copy of the finance agreement from the finance company. Once that has been obtained sit down and talk with a lawyer familar with motorcycle credit transactions and determine what the options are. Many attorneys will provide a free 1/2 consultation to help figure out where to go.

Good luck.

Read more
Answered on 9/14/10, 5:28 am


Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in California