Legal Question in Consumer Law in Virginia

Re: retail loans

This would likely depend on the type of loan, the terms of the loan documents, where in the default/repo process you are, whether there are valid other charges in addition to the note, the applicable statutes, etc.

Re: retail loans

This depends on whether the loan documents contain an "acceleration" clause. That means that the entire amount of the loan becomes due immediately upon default.

In other words, once you have fallen into default once, the lender may not trust that you will continue to pay and demand the entire amount of the loan.

However, this depends 100% on what the loan documents say.

Also if there is an acceleration clause, it has to be followed exactly. I have a case where a foreclosure was reversed because the EXACT requirements of the acceleration clause were not followed. So the loan might not be automatically accelerated. It might require certain notices and steps being taken to get there. The loan documetns need to be studied carefully.

Now, especially if it is a house, there are also some general laws that protect you, requiring an opportunity to cure a default before a foreclosure.

If it is a house, you should also check if the loan is valid or defective. You can get an audit at www.MortgageFraudExaminers.com

The lender can only proceed with repossession if the loan says that the entire amount becomes due on default, and then only if the exact procedures in the loan document are followed.

If you are facing repossession, I would try to find a buyer at a good price. THen notify the lender that a buyer is available at $X. If the lender sells the item at auction and gets LESS than $X, then argue that they cannot charge you with the difference because you found a buyer for $X.

Re: retail loans

This depends on whether the loan documents contain an "acceleration" clause. That means that the entire amount of the loan becomes due immediately upon default.

In other words, once you have fallen into default once, the lender may not trust that you will continue to pay and demand the entire amount of the loan.

However, this depends 100% on what the loan documents say.

Also if there is an acceleration clause, it has to be followed exactly. I have a case where a foreclosure was reversed because the EXACT requirements of the acceleration clause were not followed. So the loan might not be automatically accelerated. It might require certain notices and steps being taken to get there. The loan documetns need to be studied carefully.

Now, especially if it is a house, there are also some general laws that protect you, requiring an opportunity to cure a default before a foreclosure.

If it is a house, you should also check if the loan is valid or defective. You can get an audit at www.MortgageFraudExaminers.com

The lender can only proceed with repossession if the loan says that the entire amount becomes due on default, and then only if the exact procedures in the loan document are followed.

If you are facing repossession, I would try to find a buyer at a good price. THen notify the lender that a buyer is available at $X. If the lender sells the item at auction and gets LESS than $X, then argue that they cannot charge you with the difference because you found a buyer for $X.