Legal Question in Credit and Debt Law in Texas

I had an existing line of credit loan with my credit union, sometime in 2006. I then bought a truck in 2008, and financed it through the same institution. I got behind on my line of credit (162 days past due) but always made my truck payment. Last night, the truck the repossessed by the bank. When I spoke to them, they stated that they had the right to repossess my vehicle as collateral for the unsecured line of credit loan.

Is this legal? How can they repossess my truck, which the loan is in good standing, for a unsecured debt opened up almost two years before I bought the truck? They are telling me that I have to pay them the past due balance of $1500.00 plus the fees for the repo or I do not get my truck back.

Please let me know.


Asked on 9/10/09, 11:20 am

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

Credit unions are normally easy to talk with..go to them..and read all the loan papers and you will probably see they have the rights they exercised..Banks do also, BUT good people advise you of the probability of repos...

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Answered on 9/15/09, 11:46 am


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