What happens when you have borrowed money from a Finance Company that has gone in to liquidation?
When I say Finance Company I mean a lender that I obtained a loan from. Does this mean you have to repay the whole debt immediately? Or you get away with not paying anything more? Or you continue to pay off the debt under the original terms specified when the company was operating?
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Comment by VHagerty
Another company will, most likely, buy them out and offer you a low buy out for your debt. This CAN be a good thing, if you can pay it in a lump sum.
Posted on March 31, 2010 at 8:13 pm
Comment by Reena
Keep making your regular payments…. nothing really changes.
The best you will get in this situation is a letter informing you that you have to make the check out to another lender soon because they bought your loan.
The terms of your loan don’t change, no matter who owns it.
Unless it is a credit card… but then anything can change at any time.
Posted on March 31, 2010 at 9:03 pm