Sold mobile home, collection agency trying to collect on it

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Question

Country: United States of America
State: Tennessee

I had a mobile home with Oakwood Acceptance Corp. I called them and told them that they can come and get their mobile home. I refuse to pay anything else on it. They sold the home to my neighbor for 10,000. Clayton Homes bought Oakwood out and now some collection agency is calling me 2 years later and telling me that I owe them 26,000 for this trailer and that if I didn't't pay they would turn it over to attorney's. Or I could settle with them for 12,000 one lump some. Is this legal. Do I still have to pay for this trailer even though my neighbor has the deed for the trailer .

Answer

They can try to sue for the d eficiency in what you owed but notwithstanding what they say, these kinds of creditors often will not really sue so you could just wait to see what if any action they take...and you could argue they misled you, the product or service was not what you expected, etc. You could also threaten bankruptcy if they actually do try to sue... See also http://www.worldlawdirect.com/article/1412/Bill_collector_and_creditor_problems_--_Stop_abuse.html