Legal Question in Credit and Debt Law in New York

settlement of auto

A collection agency bought my auto that I defaulted on in 2003. They want me to pay 10,000. I couldn't afford that so I offered them 4,000. The collection agency refused and came up with an amount of 6,000. Finally we agreed on 5,000 to take the debt away. They are sending a letter for me to sign agreeing to this however, can they still go after my x husband even though they will resolve me of this debt. He is a Co-signer? Is there anything I should look for in this letter providing that once I send them the money they will unfreeze my acct and not go after me again for the same debt? Also, if they go after my X for more money, can it come back to me if he doesn't pay? I would really appreciate the help on this one as I am a mobilized soldier and at this time I cannot get ahold of a lawyer....Help I need to know soon.


Asked on 12/27/07, 8:03 pm

1 Answer from Attorneys
Guy Lewit Guy Mitchell Lewit, Esq.

Re: settlement of auto

see:

http://usmilitary.about.com/cs/sscra/a/sscra.htm

if you are on active duty, there are limitations on what acts a creditor can take that may extend to your co-signer as well. Basically, if you make a deal with the collection agency make sure all the terms you want are in the agreement (just as you set them forth in your question). You have th eright to spell it out and make them sign it before the deal is made...

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Answered on 12/28/07, 11:52 am


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