I purchased a car for a friend and do to some unforeseen occurrences she could no longer make payments on the car. I informed her to turn the car in and she did as I myself was not able to make the payments for her. After this time I received a notice from the creditor that the car was in there possession and that it may be sold in a private or public auction or sale. I then received a notice from the credit reporting agency equifax that a suit or judgment has been added to my credit report; when i checked it out it was from the credit union that financed the car the friend had voluntarily turned. So what I would like to know at this point is: 1. what does a suit or judgment mean on my credit report, especially for a account that was given a status of a charge off? 2.How do I find out if in fact I am being sued and what I can do? 3. Can I be placed in jail if i cannot pay or can they take my car that i purchased from another dealership and am currently paying for?
I live in Texas, there is no judgment made on the case yet becuause i haven’t been served no – notice in the mail or in person. Hope this will help make things easier to answer the question.