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The Uniform Commercial Code in every state requires only the lender to sell "in a commercially reasonable manner". That's all. There is where the conflict arises on the selling price. A debtor who buys a car for $5000.00 more than it is worth is often heartbroken when s/he still owes $8000.00 after it is sold at auction to a WHOLESALER.

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โˆ™ 2011-09-13 05:49:15
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Q: Is there a law in California that prevents creditors from auctioning a repossessed car for less than a reasonable price?
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Related Questions

If you cosigned a car loan for your daughter and the car got repossessed do you both have to file for bankruptcy?

Having a car or other item repossessed does not mean anyone has to file for bankruptcy. Bankruptcy is to protect you from creditors and should be sought if you owe more than your net worth and have no reasonable prospect of being able to pay what you owe.

If your car is about to be repossessed is it too late to make your account current with the creditors?

No, it is probably not too late. It certainly will help your credit either way. Call them immediately. Do not allow it to be repossessed if at all possible.

If the creditors repossessed a motorcycle and then DID NOT sell it at an auction do you still owe?

No you don't still owe; once the motorcycle has been repossessed, it is no longer your concern. Whether the creditor sells it or fails to sell it is the creditor's problem, not yours.

Which states allow creditors to garnish pension checks?


In California how many creditors can garnish a paycheck at one time?


Do creditors have the right to refuse monthly payments on a balance due on a repossessed car?

READ your contract. It should deal with that issue. If you meet the conditions set forth by the contract, YES, they can refuse.

Can you stop original creditors from calling you?

Yes, I understand that certain states (Texas, Michigan, California) have state laws that prohibit original creditors from calling you once you have addressed them in the proper manner.

Can creditors still contact you after the discharged date of chapter 7?


Examples of creditors ledger and a creditors journal?

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What do I do with a car that was voluntarily repossessed and the finance company won't come and get it?

While most creditors will allow you to have your vehicle voluntarily repossessed, some lenders will not accept them. Your best resolution in this case is to contact the finance company and determine why they will not collect the vehicle. Ensure that they are indeed accepting the voluntary repossession. You will still be required to pay the remaining balance unless you are told otherwise.

Can creditors account have debit balance?

creditors have debit balances as advances receive from creditors..........

Can creditors force me to sell my home to pay credit card debt in California?

Creditors can force a person into bankruptcy, if you are not already, but generally speaking, you cannot load up all your net worth in your home, and refuse to pay everybody else. This is why creditors can force a person into bankruptcy under the right circumstances. They usually don't, but they can.

Can your car be legally repossessed in 4 days they gave you a letter saying you had 10 days?

When they send the letter, it's ten days from the time the letter was drafted. As for when they can repossess legally, that's a matter of your contract, and the laws of your state. Repossession agents and creditors stay pretty up-to-date on legal issues, and if they've repossessed your car, it's probable that they did it in a timeframe where it was legal for them to do so.

What does a creditors clerk do?

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Why a business need creditors?

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Can creditors garnish your wages or take your house in California?

Yes. California allows income garnishment by judgment creditors. The law also allows a judgment creditor to place a lien on real property owned by the judgment debtor. Generally the homestead exemption will protect a primary residence from a forced sale for debt owed. Judgment creditors rarely request a forced sale of a primary residence because it is a complicated and lengthy process and is seldom profitable enough for implementation.

Your car was repossessed years ago and you don't have info on the auction sale and how much it was sold for are you allowed a copy of that information from the creditors?

Yes The lender has to provide you with this info.You should demand it from them. The lender is required to provide this only if requested in writing by the debtor.

How can we calculate creditors payment period?

Average Creditors / Credit purchases = '?' x 360 = '?' ex. Average Creditors / Credit purchases = 50 000 / 120 000 x 360 = 0.4166 x 360 = 41.7 (average creditors = Creditors at the biginning of the year + creditors at the end of the year divided by 2) Average Creditors / Credit purchases = '?' x 360 = '?' ex. Average Creditors / Credit purchases = 50 000 / 120 000 x 360 = 0.4166 x 360 = 41.7 (average creditors = Creditors at the biginning of the year + creditors at the end of the year divided by 2)

Do you have to pay the balance of your car loan after it is repossessed?

yes you do so the bank or dealer wont report it to creditors. When a vehicle is repossessed it must be legally sold for the fair market value, or as near as possible to that price. The amount obtained by the sale is applied to the remaining balance of the loan. The borrower is responsible for any deficit amount plus applicable fees. A repossession is almost always entered on a credit report.

How do you get your creditors list?

You can get a list of your creditors by checking your credit report. Most of all creditors will report to the agencies and will have a record.

If the creditors repossessed a car and then sold it at an auction can you be made to pay for the rest of the money that they didnt get out of the auction?

Yes, you will have to pay the deficiency plus repossession fees. Your obligation was the balance on the loan no matter what the car actually sold for. If you do not pay they will sue you and you will loose in court.

How can pass sundry creditors journal entry?

Purchases A/c -Dr 5000 To Sundry Creditors 5000

What if you give a car back the don't report your creditors?

When you have a car repossessed, either voluntarily or involuntarily, that car will be resold - typically, at an auction. You will still owe the lienholder the amount you owe (plus any associated recovery costs) minus the amount they got for it at the auction.

What meant by sundry creditors?

When amount from more than one small creditors are join and shown together it is called sundry creditors.

Who is called sundry creditors?

When company purchases materials from different vendors on credit, those combined creditors are called sundry creditors.