Q: MD CCU debt for car that had engine damage and was sold and no longer in my possession

A: Typically, the Central Collections unit will set up a payment arrangement with you. Additionally, they can be paid over the course of 5 years through a Chapter 13 bankruptcy case. You should contact an attorney to guide you through this process.

A: I just want to add that CCU and the MVA will remove some or all of the penalties if you can prove that the car was sold. You will need proof which can take the form of an Affidvait signed by you and a bill of sale or other documentation from the buyer. If you do not have the documentation, the buyer might especially if it was sold to a junkyard. COMAR 11.18.03.02 provides:

02 Adjustment of Penalty Assessment.

The penalty may be adjusted in the following situations, upon presentation of:

A. Written verification from a licensed insurance company that the insurance company has erred;

B. Written verification from a licensed insurance company that the vehicle was insured during the entire period in question;

C. A certified statement and evidence acceptable to the Administration from the vehicle owner that the vehicle:

(1) Was not operated during the period of lapse;

(2) Was not involved in an accident or collision during the period of lapse;

(3) Was not issued a citation during the period of lapse; and

(4) Had no prior insurance lapse; or

D. Written verification from the Maryland Insurance Administration that the vehicle owner, with good intent to be insured, paid the proper premiums to an insurance agent, insurance broker, or insurance company, who failed to provide motor vehicle liability insurance.