Hi Linda My credit Union I have been a member over 21 yrs. I purchase a used vechile on a loan made all payments for 2 yrs. Recently had some transmission problem after spending 2,ooo on paint job and 2,500 on wheels and rims. Went to credit union borrow 2,ooo was approve. Day later state they had a change of heart wanted too include the 2,ooo in my auto loan. Refinance vechile to shorter loan for repayment. My payments were 485.00 monthly and they change them too 753.00 monthly and I said HELL NO! I only needed 4,000 get car out repair. They are loaning me 2,ooo and raising my payment 268. More a month. So I gave vechile back. They sold it at auction for 13,000 pay off with repairs included was 21,000. Now there trying get a judgement for 12,ooo more. I need help this not right for a credit union not help there member instead seek loan chart action now kill what's left of my credit with a judgement HELL NO AGAIN!!

What is the question? We'll be happy to help if you would clarify what you are asking.

Is this legal practice they got a large settlement payment when they got 13,000 at auction that had too knock off at least 2 half years of the loan. Also I had paid on the vechile for two years at 14% interest rate payment of 485.00 the total rice was over 22,000. At time I release vechile back to them my pay off was 17,500. Now they want 12,000 more or a judgement on my credit. It was 4,000 to have vechile repair. Shouldn't credit Union be for helping the member keep the vechile rather than trying to kill my credit or offer me a loan that would be out of my reach to pay back. 753.00 on a use vechile for three year is a bit much. I need to respond to this summonns ASAP!

The credit union is not obligated to help you pay keep the car. However you are obligated to satisfy the loan. They can sue you for whatever is left on your loan after they liquidated the car, and they may include the court costs that they incurred. Was the repair paid by you, or did the mechanic lien the vehicle and take a cut when it was sold? There are way too many variables here to determine exactly what you should owe (I am sure there are collection fees, additional interest, and penalties), but the bottom line is this: you got into a loan situation you couldn't afford, and they have every right to go after you. I'm sorry the news isn't better but, if you want to avoid having a judgment on your credit report, call them and make some payment arrangements.

And, if you owed 21K (including the repairs) and they got 13K for the car, that is 8K on the loan.. when you factor in that 4K of the 13K probably went to the repair ship, that leaves 12K that you owe to your credit union. It seems that they are right on target with what they are asking for, but again, without seeing documentation, there is no way to be exact.

That should say 8K left on the loan.