Patsy Anderson v. United Finance Company

This is an appeal from the judgment of the United States District Court for the District of Oregon, dismissing the case on the merits, and awarding Mrs. Anderson no relief.

Appellant, Mrs. Anderson, applied for a loan with appellee, United Finance Company, on March 15, 1978. Appellee conducted an investigation to determine appellant’s credit worthiness. All credit background verification was done solely in appellant’s name. Upon the basis of this investigation, appellee agreed to grant appellant the loan, using certain household goods as security.

The household goods which were to be used as collateral were jointly owned by appellant and her spouse. Consequently, to perfect a valid lien against the household goods, appellee required the signature of both appellant and her spouse on the security agreement.

In addition, appellee required that appellant’s spouse sign the underlying promissory note. Appellant testified that she specif ically requested that the loan be placed in her name only. She was attempting to establish individual credit. Furthermore, her husband instructed appellee that he did not want to be liable on the note. He was on welfare and disabled at 'the time.…