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Alexwarren91

Didnt release liability on my car, it got towed and now I dont know what my obligations are

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Hello, I am new to this forum and need some help with a sudden issue. I got a call today about an old car that I sold 2 years ago and didn't release the liability on. apparently the new owner didn't register it in their name and it got abandoned and towed. Today I receive a call from a nationwide debt management solution saying I owe about 1800 on the car but then after talking they say they will bump it down to 1300 if I pay 200 today and the rest by next week. What are my obligations here and what happens if I dont pay? I dont want the car anymore so I dont car about that. Is anyone familiar with this and can give me some info?

 

Thank you very much for any help

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Can you prove (not just say) when and to whom you sold the car?

 

If not, you may have to pay.

 

If you don't pay, you can get sued, get your credit trashed, get your pay garnished, all in all nothing pleasant.

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I cannot prove it no. My sister had this same thing happen to her and she said it just went on her credit and was off in 6 or 7 years. I am a student and don't really have this to pay so I am not sure what to do. I dont mind if they send it to my credit and it gets a bit worse to be honest.

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I don't know what you mean by "didn't release liability" on the car.  Are you trying to say you still owed on the note you signed to buy the car?  If so, you owe the lender the balance on  the note.  Don't worry aout who you sold the car to since it is irrelevant.  It was an illegal sale if the lender stilll had a lien on the title.

 

Besides damaging your credit the lender may also get a judgment against you and garnish your wages or prevent you from buying a house or another car until the judgment is paid.

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15 hours ago, Alexwarren91 said:

What are my obligations here

 

Depends on the laws of your unidentified state.

 

 

15 hours ago, Alexwarren91 said:

what happens if I dont pay?


No one here is in any position to intelligently predict what some random collection agency will do.

 

 

11 hours ago, Alexwarren91 said:

I cannot prove it no.

 

Why not?  Was this an all cash deal with no bill of sale or other appropriate documentation?


P.S. When you wrote that you "didn't release the liability on" the car, I assume you meant that you failed to comply with your unidentified state's law that requires a seller or transferror of a registered motor vehicle to notify the DMV regarding the sale/transfer within X days after the sale/transfer has occurred.  Please confirm that or explain what you meant.

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yes that is what I meant, I didnt fill out a release of liability, it was a my first time selling a car and I was unaware that was so important i figured they would take the title I signed over and put it in their name

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