My son cosigned with his girlfriend for a vehicle. They separated and the girlfriend maintain possession of the vehicle, as well as, maintaining the payments on said vehicle. My son has had no contact with the lady, but when he went to purchase a vehicle for himself, there was a problem. The ex girlfriend got into an accident and the car was totaled. She maintained insurance on the vehicle and apparently the insurance sent her a check for the payoff, which she did not use for that cause.
Now they are telling my son that he owes $1800 to the dealer for the payoff of the vehicle since he was the cosigner on the loan. The dealer has the totaled vehicle and my son is wondering whether he can claim possession of the "totaled" vehicle if he pays off the loan. This is also being reported on his credit and he needs to get this matter settled as soon as possible. Does anyone have knowledge as to what his options are in this matter? And, if he does payoff the loan, can he then seek legal action against his ex?