Can they do this?

[LionsandBears]

Tash - yes they can still deamnd payment for the difference between the contracted payment total and what they get for the resale of the goods- just as any repossession.

If the contract is worth $1000 over the full term, then if she defaults on teh payments she must surrender the goods and pay out the contract. So if they are selling the repossessed goods to cover their loss, and they only get $600 for them, she still has to pay the remaining $400. (for example)

I had this issue with Radio Rentals when I first moved out of home. A lesson the hard way.

That sucks, but I imagine it's in the contract. The issue will then be negotiating a payment plan for the remainder of the contract. It is a very harsh lesson. I had a similar one with GE.

1sttime - please seek financial counselling for this and other issues. Try these guys in Canberra: Care Inc Financial Counselling Services, 6257 1788 or the Salvos: Moneycare Canberra, 4 Hawdon Place ****SON ACT 2602, Ph (02) 6247 3635 Social Services & Programs » Contact » salvos.org.au

[Pandora]

The way they spoke to you sounds like it was horrible, but what they said is true unfortunately.

At least if they can get something for them you won't owe as much? Im sorry I cant think of a more positive spin to put on it for you