HI.. need advise n opinions for my situation

[ZAL-522011]

hi, my brother had passed away due to bike accident several mths ago.. my family n i were left with his two bikes..a Yamaha X1 110M and a Suzuki GSXR-1000 K8. the yamaha is full paid while the suzuki is still on loan as it new ..his insurance dun not cover due to certain regulations of the insurance ..both bikes are not in proper condition to sell.. but we have no use of as we dun have any relative who know to ride... so i need opinions n advise how to deal it???

 

*N the guarantor decided to back out of the situation, so my family n i decided to let it go...

Edited June 25, 2011 by ZAL-522011

[mitsui_kobe]

My condolences for your loss of your brother. If you are in a hurry to get rid of these 2 bikes, u can always try pushing it back to the shop where your brother bought it from. Of course, the big bike u will definitely make a huge loss. If money n time are not important factors, and there are actually insurance money to be claimed for the passing away of your brother, u can use some of it to do up the bikes b4 attempting to sell them away. It will be better if u cam get your brother's riding kakis to help out or for advices..

[three]

Before you do anything, check with the guarantor for the K8 Bike. Tell him the senario.

[Demon]

*N the guarantor decided to back out of the situation, so my family n i decided to let it go...

 

No such as thing as "back out of the situation".

 

If the creditors cannot get the money from your brother, then they will go after the guarantor.

[mechwira]

you need to understand one very important thing.

 

your family is not liable for the bike under loan. you can practically leave the bike where it is and tell the bike shop to take it and fly kite. even if the outstanding loan is more than the bike value, your family is not liable to pay the balance. the bike shop may try to bully your family into paying up the loan even thru lawyer letters, but the bottom line is your family can heck care the bike, it is between the shop and the guarantor, nothing to do with your family. this goes for every debt that your late brother has such as credit card, so long as none in your family were guarantors of the debt. they can make claims in court for properties under your late brother's name as compensation for the outstanding loan, but not hold your family and your family's property as accountable or liable for said loan.

 

a very similar situation happened to a close friend of mine whose elder brother passed away several years ago. lawyer letters came, but my fren's family refuse to pay the outstanding loan or pay the losses because they insisted it was not their problem, the loan was strictly between the shop and my fren's elder brother, and none of the family members were guarantors at the time of taking the loan. when the shop realized they couldn bully my fren and his family with lawyer letters, they just took away the item and didn look for my fren again, because the shop knows full well they have no case to claim against the family.

 

i do not know whether guarantor is absolved of liability based on death of debtor. but confirm for the bike, your family can just heck care.

 

as for the fully paid bike, it enters into ownership according to your late brother's will or however the court decides to pass on his property.

Edited June 27, 2011 by mechwira

[mechwira]

my apologies on one thing. it just occurred to me that perhaps you and your family sympathise with the guarantor. after all, he's just someone who out of good will decided to guarantee your late brother's loan. and after an unfortunate accident thru no fault of his, he is now saddled with your late brother's debt. and maybe because he only got involved out of goodwill, your family feels responsible for settling the matter even though you are not legally obliged.

 

if this is the case, then you and the guarantor need to force a repo by the bike shop. after the repo, the bike shop may either leave you alone, or continue asking for the outstanding sum based on the difference of the outstanding loan and the bike's market value. and here, there is every likelihood the shop undervalues the bike. but if the shop repo the bike and you agree to pay the outstanding sum, the shop has no more things that it can ask for. this is the easiest way out, but not always the cheapest.

 

but you said the bike is not in a proper condition to sell, yet you imply it can be ridden just that you dont have relatives who ride. i dont understand. is the bike perfectly fine just that neglected since the passing of your brother? or heavily damaged and in need of major repairs? or so badly damaged that its probably a write-off?

 

if the bike is just neglected or minor damage, the shop will just take it into account in its valuation of the bike against outstanding loan. worst case if possibly write-off and bike is worthless, then too bad guarantor has to pay outstanding loan in full, and if you want to help him must fork out the loan.

 

but if can sell, an alternative is to find out outstanding loan amount, then maybe advertise in the appropriate channel here stating the situation. see what offers you get. if you find a buyer with a reasonable offer, go bike shop together and come to an agreement. if the offer is less than loan amount, mebbe you top up the difference for the buyer.