Q: i borrowed 1500.00 and paid 600.00 back. i missed a few payments and they took collateral. and are now suing me for
1400.00. how can they do this legally? is there anyway i can fight it?
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A: Your issue is not criminal in nature. The Lender is probably suing you in General Sessions upon a Sworn Account. You must read whatever Financing Agreement you made with them, and you might offer the surrender of the Collateral to them. But that usually only accounts for part of the Debt, and they can elect to sue for money owed only. Whoever swore out the Debt could be forced to come to Court to testify about their personal knowledge, or you could make it easy on them by settling on a reduced amount. A Slow Pay Order might be granted by the Court.
A: You need to look to the terms of your agreement with the lender. If they had the right to take collateral after a few missed payments, then they may do so without court order. They cannot "breach the peace" when using self help. Breaching the peace has been defined differently; however it is like breaking locks or breaking into your garage. They could be suing you for accrued interest or the lack of real value in the collateral. You should consult with a local attorney about whether they have done this properly.
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