Legal Question in Credit and Debt Law in Texas

Car loan default

I cosigned on a loan for my brother in Texas. They repossed b/c he never paid and now are telling me they are going to sue me for 8800.00. They said they would settle for me if I pay 5500.00. I just dont want to pay this b/c I already have a repo on my credit b/c of this car. I dont want to rack up my credit cards and put 5500. on it. What happens if I decide to not settle and pay the 5500.00? What can they actually do to me in Texas? I will be so broke if I take on this 5500.00 bill. I just dont know what legally will happen and if the bill will be more than 5500.00 in the future.

Thanks!!!


Asked on 12/06/07, 8:49 am

1 Answer from Attorneys
Donald McLeaish McLeaish&Associates;, P.C.

Re: Car loan default

The creditor has to sue to collect the debt...since you don't have the money, tell them you cannot pay...let them sue. If you could offer $100 or so, they may take it..but be sure to tell them you cannot pay, do not call you at work or home....etc..

Read more
Answered on 12/06/07, 8:59 am


Related Questions & Answers

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