f I walked away from a mobile home over 5 years go, what are the consequences for not paying the amount owed?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
f I walked away from a mobile home over 5 years go, what are the consequences for not paying the amount owed?
I bought a new house when I walked away. Several different collection agencies have have tried to collect the debt. Also, I was offered a $4k payoff when it was alleged that I still owed over $30k, how is this possible? I don’t have the extra money but aside from this mobile home loan, my credit is great.
Asked on December 5, 2012 under Bankruptcy Law, Illinois
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 11 years ago | Contributor
How long someone can try to collect a debt like this is effectively defined by how long they have to sue you, since that is how long they have to legally enforce it. The time to sue, or statute of limitations, in your state for a debt arising out a loan agreement is 10 years; therefore, the collections agencies still have around another 4 - 5 years to pursue you. If you do not pay, they could sue you; if you do owe the debt, they will presumably win; if they win and still don't pay, they could put a lien on your home, garnish your wages, take money from a bank account, or have the sheriff or other court officer seize and sell other property of yours, like a car. It will also damage your credit. As to why they offered a small payout amount--that probably reflects that they do not believe you can or will pay, and so were willing to take a smaller amount so as to get something.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.