Robert
Irvine,#2Consumer Comment
Sun, November 04, 2012
You need to place blame where the blame actually lies...with the woman who hit you and didn't have insurance.
If the lady that hit you did not have proof of insurance, even by a day, she was violating the law. As a result she "could" be charged with a crime and actually end up in jail. In MI it appears to be up to $500 fine and a maximum of 1 year in jail. So the first question is did you get a Police Report for the accident?
Next, there is nothing that says you still can't sue the lady for any additional damages you had that insurance didn't pay for. So if you wanted to sue her for the remaining balance just based on the fact that she had no insurance you probably have a good case. Since the amount is small enough you could probably even do it in small claims court on your own(no attorney) for very little money. Now, if you prevail you may not get the money right away, but you can then take legal actions against her to force her to pay. Which by the way if this company ever decided to sue you, would be the exact same remedies they could use against you to get you to pay.
If you do file suit, just the fact that you filed may get her to cut you a check without going to court. Because if she goes to court and can't show proof of insurance for that day..the judge may not take too kindly to her.
As to this lender. Unfortunately it doesn't matter what lender you are with, but no longer having the car does not mean that the loan balance goes away. So while you don't think it is legal..it is 100% legal for them to hold you to the loan agreement you made, and if by chance you stopped paying them. They could take you to court and you would loose.
As for their methods, while annoying there is not anything technically illegal about them coming to your house and knocking on your door. But if they were bothering you, you could have called 911 and had the cops show up and if they still happened to be there write a report on it. You could however make it illegal by having a trespass warning given to them, but they may counter by taking you to court and suing you for the remaining balance immediately.
Your balance increased because you were late so were charged additional interest. You weren't late enough to be charged a late fee it looks like, but even 1 day late gets you charged additional interest.