car loan collection

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Hi, i returned a car to the bank like 5 years ago. I didnt send any payments, i just receive a letter from a collection agency advicing me that i had to send a cashier check or money order for the amount of $26,569.56. I went ahead and print a credit report and in my credit reports shows a collection for $18,000.00. The bank were i had the loan with told me that they sold my car but i was still responsible for the remaining balance, sense i never contact the bank i guess my loan went up to $26,569.56. Am i responsible for this hole amount.



Reply from leakywelly User Rating:  2550 Knowledge Tokens
afraid you are.a loan is diff than car finance.
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Reply from Dave User Rating:  84 Knowledge Tokens
You need to contact a lawyer right away to handle this situation for you.
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Reply from toddsteppenwolf User Rating:  2640 Knowledge Tokens
yes you are, the car was probably sold by the bank at an auction, how ever the bank did not receive the full balance at auction so the difference is your responsability, and every month you were charged interest and processing fees to be tacked on to the difference it sold for, so it is always increasing every month the minimum is not paid, chances are if you ask the collection agency if you were to pay it of in full would they settle for less, chances are they will say yes, becouse the banks sell these outstanding accounts to collector companies for pennies on the dollar, they will probably make money on this account even if they settle for less than actual amounthope this helps
Reply Rating: 0    

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Comment from RoamingInsomniac User Rating:  2070 Knowledge Tokens
You have to pay it. ALL of it. No matter what the loan WAS to begin with, it's $26,569.56 now. You will be stuck with it.


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