We got a line of credit and insurance from Household Finance (HSBC) Sept. 2005 for for a used minivan and to pay a few doctor bills. October 2005 my husband was laid off the job from his family owned/operated business. We just purchased our first home (mortgage) and we had a three month old baby at home. We contacted Household Bank regarding the layoff. We told them we needed to in-act the insurance protection plan that we had been paying along with our monthly payment because my husband was laid off from his job.
Household told us we couldn't use the insurance protection because I was the primary on the account, he was the secondary on the account and I wasn't the person laid off to in-act the insurance protection plan. I informed them (they new this upon loan approval) that I was a homemaker and only worked on a temporary/part-time basis from time to time. They said my husband was only the co-signer and they put his income under my name to get the loan, therefore, I am the note/loan holder and again, they couldn't in-act the insurance protection plan because the job loss was not mine. I asked them why would you charge me for insurance knowing I had no income....I was then charged for something I never needed and would like that money back. They said they couldn't help me. I'd have to talk to legal about it and then wanted to know when I was going to pay on my loan.
My husband was laid off again another time from corporate layoffs nationwide and we were so behind from the first layoff that we couldn't pay anything during the second layoff on the loan. An Attorney's Office by the name of Javitch, Block and Rathbone in Cleveland OH took over for or bought the debt from Household/HSBC and filed for garnishment after we couldn't pay on the loan agreement that we had been paying on. We also informed them of the insurance protection plan. We got NOTHING but grief and harrassment from Javitch, Block and Rathbone (JBR), Attorney Debt Collectors. They (JBR) were awarded 25% of my husband's income after he was employed only and not on his unemployment - well, DUH JBR! (my husband was only the secondary/co-signer/non-note/loan holder according to Household who they couldn't use for the insurance). We have almost paid the note/loan/garnishment off in full but with great financial struggle of paying all of our other bills and nearly losing our house. We've been trying hard to stay out of bankruptcy.
If it weren't for God's help who lead us to read, "you will pass through the sea of trouble, but it will not overcome you" (NIV Bible) we wouldn't have been making it without His help.