Legal Question in Credit and Debt Law in Texas

Repossession

We had a vehicle repoed in 2005 and are still receiving calls trying to get us to pay a reduced amount. We have told them that we do not have the funds to pay it. I sent an email asking them to Cease and Desist which worked fine at first. Then we thought we were going to sell our home and would have the extra money to pay it, so I contacted them. Which I guess allowed them to begin calling again. They call me at work. I have sent another fax requesting no calls at work and for them to Cease and Desist. My question is, do I need to be concerned about them putting a judgement against my home or they have told me they could turn in a 1099 C to the IRS, can they do this?


Asked on 9/25/07, 2:29 pm

1 Answer from Attorneys
Sharon Campbell Sharon K. Campbell

Re: Repossession

First, no one can "put a judgment" against you or your property. You must be sued, served with the papers, given time to respond, given notice of a trial date, at a minimum, before a judgment can be entered against you. You should have plenty of notice. Second, in Texas homestead is exempt from creditors other than the company financing it or home equity loan. They might do a 1099C - that would be wrong and you might consult an accountant about how to deal with that. If you are sued, you should hire an attorney because there is a real chance you could prevail; often the creditor cannot prove everything they need to prove in order to get a judgment.

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Answered on 9/25/07, 6:03 pm


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