Legal Question in Credit and Debt Law in Georgia

I took out a car loan in 2002 but due to loos of a job, the car was repossed in 2004. The car was autioned off and well over $10K was owed on the contract. A collection company bought the debt, then my bank ( formerly Wash. Mutual) bought the collection company. Now Chases' collection arm is seeking to collect all of the debt or garnish my wages.

Do I have any recourse? Are there any strategies to help me negotiate a fair settlement?


Asked on 12/11/09, 9:26 am

1 Answer from Attorneys
Glen Ashman Ashman Law Office also dba Glen Ashman Attorney

You generally have two options. Negotiate the best deal you can afford if the creditor will agree in writing. Bear in mind that you will get a form 1099 in most cases and owe taxes on the part of the debt you did not pay. Do not send any money or do any settlement that is not signed and in writing from the creditor.

Choice two: see a bankruptcy lawyer and see if you can bankrupt on the debt.

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Answered on 12/16/09, 9:32 am


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