Legal Question in Credit and Debt Law in Virginia

auto repossession

i entered a verbal agreement with a co-worker on the sale of a vehicle. he payed about 80 percent down and then did not pay the agreed monthly payments for five months, but then caught them up. he has gotten behind again and made some partial payments.the vehicle is in my name still therefore also on my insurance. i was going backwards on the money side so i repossed it.i told him at the onset i would repo it if he defaulted and he would have to pay all at once due to small percentage left on agreement and that i would then keep the vehicle for myself. can i enforce either of these stipulations. his payments were only 175/month and i know he can afford that i think he is trying to take me for the balance.i read that if he has paid 60% then it must be sold and split accordingly. i told him that i would keep it just to try and make sure he would keep up the payments. it looks like a strict forclosure maybe out the question now. the internet has giving me alot of information on what should have been done but to late for that. what can i do now.


Asked on 2/23/07, 6:07 pm

1 Answer from Attorneys
Michael Hendrickson Law Office Michael E. Hendrickson

Re: auto repossession

Be fair. The "60% solution" which you mentioned sounds about right. If your nearly defaulting buyer has made more than 60 percent of the payments due under the agreement, but cannot come up with the balance due, sell the vehicle and split the proceeds, accordingly.

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Answered on 2/23/07, 6:49 pm


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