Personal Finance
Labor and Employment Law
Money Management

You recently got fired from your job at a small loan company you also have a loan with them what happens now that I have no income to make my payment?

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Wiki User
February 21, 2007 3:59PM

Generally, your status as a recepient of the loan is unrelated to your status as an employee. (Frequently, the loan itself is no longer owned by the original company and has been sold to another, although the original one may service it, that is - accept payments and accounting for the new owner). Hence, you can expect the company to respond like it does to any customer that fails to make the payments on a loan. That your ability to pay may be caused by your work status is not a consideration. Sometimes, the lender may have provided a special rate or terms on the loan as a benefit to an employee. Depending on the specific agreement, the loan terms may change, generally the benefit ceases after a certain time (or the loan may even become due) when you are no longer an employee. That means your payment may increase. Look at your particular loan documents.