Bank is holding my title

[Savvytiff]

Jurisdiction

Texas

So 3 years ago I put a loan against my truck so I could get the motor rebuilt. I paid the entire loan off but my oldest son had written some bad checks on his account (I was cosigner before he was of age) and owed the bank overdraft charges plus the check amount. (Around $250) The bank is now holding my title against that amount and saying they may repo. Can they do that?

 

[army judge]

The bank is now holding my title against that amount and saying they may repo. Can they do that?

In some cases, YES.

To know if tis applies in your case, read the agreements you've signed with the bank for the loan and other accounts you hold.

If I were you, I'd pay the $250 or you might have bugger troubles coming your way.

If your kid owes you the money, pay the bank, and make the kid cough up the money to make you whole.

 

[zddoodah]

The bank is now holding my title against that amount and saying they may repo. Can they do that?

Depends on the terms of the loan agreement and the account agreement. Since you, as a co-signer on your son's account, owe the money, the simplest way to deal with it would be to pay up.

 

[adjusterjack]

Can they do that?

Almost a guaranteed yes.

Read your loan agreement and the accountholders agreement. Look for "right of set off."