Legal Question in Consumer Law in North Carolina

My ex-husband is a used car salesman. He bought a used car for my daughter and the engine died. He securred a loan from a local bank (in her name only) to purchase a used engine. The loan was for $3,500. He was paying the loan for her and then stopped but did not tell her. She noticed on her credit report that it was a charge off of $1,100. She contacted the bank and made arrangements to pay the charge off and she did. She just informed me that when she signed for the loan (on April 1, 2007) she was 17 years old. There was no co-signer it was all in her name only. She did not turn 18 until April 20, 2007. Can she recover the amount of the loan as well as have the charge off removed from her credit report under the Infancy Doctrine?


Asked on 8/07/10, 4:33 am

1 Answer from Attorneys
Rachel Hunter

Your daughter already paid. She cannot get her money back. She might have been able to disavow the contract during her minority, but not now, since she did not disavow the contract after she reached the age of majority (18) or within a reasonable time thereafter. Since she paid it off, she might be able to convince the bank to remove this from her credit report entirely.

Read more
Answered on 8/13/10, 9:09 pm


Related Questions & Answers

More Consumer Law questions and answers in North Carolina