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Local dealer involved in illegal repossession for second time

Financial struggles are not always unavoidable. Circumstances change, people get sick or lose their jobs. Homes and cars that were once easily affordable may no longer be affordable with life's struggles get in the way. One Alabama resident knows this all too well.

The man saved for almost six months to make a $1,500 down payment on a car he purchased from a local auto dealer. The car was repossessed only five month's later because the buyer could not make the payments due to the high interest rate. The care was repossessed last year when the man was only one day late on a payment. He says the dealer promised him he could have an extra day.

Even worse, the man was fighting cancer and the car was reposed the day after his last chemotherapy treatment. He says all the payments up till then were on time. The man inquired about the contract with an attorney and that is when everyone realized that the numbers did add up. The dealer was charging almost 50 percent interest, when the contract agreed to 25 percent.

The same dealer was recently indicted for a similar issue when he refused to lower the interest rate for a buyer who was deployed overseas and had the soldier's car repossessed in violation of the Servicemembers Civil Relief Act.

In this instance, the may claims he was making his payments on time regardless of his health struggles. But the repossession happened nonetheless and he has been without a car since November. For others who can't make payments, bankruptcy may be an option to prevent or postpone repossession. Filing for bankruptcy enacts an automatic stay that stops an collectors ability to remove the car or vehicle. Therefore, bankruptcy can at least by some time for people who come upon hard times.

Source: Cullman Times, "Civil suit filed against Cullman used car salesman," Ashley Graves, April 3, 2013

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