Legal Question in Credit and Debt Law in New Jersey

Re: Car Reposession Liability

You will most likely be responsible for the difference between what you owed on the car and what the car company receives for it at auction plus fees (called the deficiency balance). I.e., if you had a payoff amount of $10,000 and the company sold it after paying fees for $5,000, you would owe the car company $5,000. There are exceptions to this, but they are limited. Depending on your financial condition you should speak to a consumer or bankruptcy lawyer in your area.