The 'Repo Man' recently repossessed your car for failure to make payments- You still owed $5,000 on the loan, but since it was always broken, you were glad to get rid of it anyway- The bank sold the car at a wholesale auction for $3,000- The bank also paid the 'Repo Man' $200 and paid attorney fees of $300- Based on the deficiency payments clause in your loan, what are you liable for?

What Is Consumer Debt?

Consumer debt consists of personal debts that are owed as a result of purchasing goods that are used for individual or household consumption. Credit card debt, student loans, auto loans, mortgages, and payday loans are all examples of consumer debt.