Several months ago I took a title loan for 2k, (auto value 4k)
After numerous minimum payments and partial pays, I ultimatly defaulted on the loan.
The lender tried to get me to write a check and secure another loan to pay the intrest on the first, but I was not bitting again, they then demanded full payment or the car, I delivered neither.
Two days ago I got a phone call from a repo man asking if I would give him the car.
As I see it my options are:
1. Give up the car or let them take it, and deal with the balance.
2. Try to sell the car first and pay (cash value will not satisfy loan)
3. Litigate. (possibly "Common Law Unconscionability Doctrine", as it pertains to the excessive interest)
Another aspect I would appreciate comment on, is the fact that I alone signed for the title loan even though my wife is a co-owner.
I think U.C.C article 9 states that the debt is still valid, but do they have a valid security interest for "Self Help Repossession" without a court order?