Law on this subject will vary from state to state, so you should see a local attorney. In most jurisdictions, the owner cannot sue to recover the payments they made. If the lender follows proper legal procedure, the lender should be able to sell the vehicle at a public auction, apply the proceeds to the loan balance and then sue the borrower for the deficiency.
You have to posses the title on the vehicle and the documentation that there is a default in payments.
A creditor can repossess a vehicle at any time after a default(late payment, lack of insurance, etc.) occurs on the contract.
Once the loan is in default the bank has the right to refuse payment and repossess the vehicle.
Yes, the lender can recover the vehicle any time after the lending contract becomes in default.
The cosigner becomes the target next. If you default, it is up to the cosigner to pay the bill or both of your credits are ruined and the bank takes their usual steps to repossess a vehicle.
What typically happens is that the party financing the lease will repossess the vehicle. The vehicle will typically be sold and the party financing the lease will attempt to collect the balance remaining under the lease either through a collection agency or through formal legal action.
Not if you are on the title to the vehicle and own it. Whoever holds the loan on the vehicle can repossess the car however if you are late with payments. Contact the lender and work something out. You do not want your car repossess. Credit will be ruined for 7 years, and you will still have to pay the repo fees plus the difference in the balance on the note and what the car brings when they sell it.
Read your contract. Likely the answer is YES. As long as you are in DEFAULT, they can repo.
As long as you continue to make the payments, they would have no reason the instigate a repossession. When a vehicle is financed or leased, the creditor has an interest in the vehicle and rights under the contract you signed. If you are in default of the contract either by default in payment or otherwise (failure to insure or other terms) the vehicle can be repossessed.
As long as the contract is in DEFAULT, the collateral CAN be repossessed. One dollar or one day. Its a GAMBLE you take when you are in default.
http://www.capitol.state.tx.us/statutes/bc.toc.htm § 9.609. SECURED PARTY'S RIGHT TO TAKE POSSESSION AFTER DEFAULT. (a) After default, a secured party: (1) may take possession of the collateral; and (2) without removal, may render equipment unusable and dispose of collateral on the debtor's premises under Section 9.610. (b) A secured party may proceed under Subsection (a): (1) pursuant to judicial process; or (2) without judicial process, if it proceeds without breach of the peace.
Then they will repossess the wrecked vehicle, sell it for what they can get, apply that to the loan balance, and you will be responsible for the balance on the loan. They will sue you in court to get it and will win. Now if you continue to make the loan payments, then none of this will happen. Did you not have insurance on this vehicle?