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Can a creditor sell the title to an auto loan that has gone into repossession and claim that the vehicle was stolen?
Wiki User
∙ 15y ago
The creditor is the lender. In most states, they have a lien on the title to secure the loan, but are not the title holder themselves. It is fair to say they cannot sell something they don't have. If a loan is in default and the security for it is repossessed, the title can then be gotten by the lienholder and sold to provide funds to payoff the loan. The creditor is the lender. In most states, they have a lien on the title to secure the loan, but are not the title holder themself. It is fair to say they cannot sell something they don't have. Why a creditor -bank- would then ever report a car as stolen, I can't follow. Presumably you mean the debtor or borrower wants to report his car as stolen and also sell it. Can't sell it without providing the title. can't provide a clear title without paying off the loan. If you did sell it somehow...then it wouldn't be yours to report stolen would it? If you don't sell it and report it stolen when it really wasn't, this is highly illegal. You can't use it yourself, nor can anyone else. Anyone in the car will be in a stolen vehicle. Grand theft is the term that comes to mind. And when the car is in the possession of the one that reported it stolen, or someone that shows that person knew it wasn't - even worse actions will result to them. But simply, this is the type of thing that is easily discovered and doesn't do any good anyway. That the car was stolen does NOT stop the borrowers obligation to pay back the loan in full and on time anyway.
Wiki User
∙ 15y ago
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Can you be charged with a stolen truck if you get behind on payments?
If they come to repossess it, and you claim to not know where it is, then the repossession agent will report it stolen. At that point, anyone found in possession of it is in possession of a stolen vehicle.
Is it typical for the bank not to notify you of repossession?
They would normally send you statements reminding you that your balance is past due, and the vehicle could be repossessed if the matter isn't settled. The creditor normally won't inform you of when the order for repossession actually is sent out, and you won't normally be informed that your vehicle is being repossessed until the repo man shows up to claim it.
Can a third person be held responsible for not disclosing the whereabouts of a vehicle up for repossesion?
You don't have to talk to the repossession agent. The only thing you don't want to do is claim to not know where the vehicle is - at that point, it can be assumed to be stolen, and there is a possibility of it becoming reported as a stolen vehicle. Repossessors have no law enforcement authority - they cannot make arrests, they cannot obtain warrants.
Can you cancel stolen car insurance claim?
You can't just cancel a claim. It is basically up to the Insurance co. to either aprove a claim or deny it. However, it the vehicle was stolen, it is your resposibility to provide a police report proving that the vehicle was indeed stolen.
Can you claim on a theft from your van?
Claim on insurance? It depends if your policy incluldes theft of property from the vehicle, without the vehicle itself being stolen.
How long do you have to file a claim in Florida?
Your policy requires that you, ''promptly report all accidents'' failing to do so could result in the claim being denied, file it immediately.
What do you do when your vehicle has been repossessed during an insurance claim in Texas?
Same as any other repossession, CALL the LENDER. Work something out.
Will the insurance company accept your claim on a vehicle that is stolen if your late on your car payments?
They will accept almost any claim, paying it is another matter.
What happens when you hide a car from the repo man?
It will be reported stolen. Remember, the car does not belong to you - it belongs to the lienholder, and the repossession agents are coming to claim the lienholder's property back. You no longer have any legal right to it. In most instances the repo agent will make a few attempts to locate the vehicle. If that does not happen the lender will go to court to obtain a replevin order. Once the order has been issued the buyer/debtor must relinquish the vehicle or face criminal charges. The vehicle cannot be reported stolen by the repossession agent or the lender unless they have evidence that such a crime was actually committed. For them to do so due the location of the vehicle was unknown would constitute filing a false police report.
Can car company put lien on house if person is on SSI and can't pay car loan Voluntary repossession.?
Not directly, and not always. In order to put a lien on a house a creditor must have a "judgment" against the person who owns the house. In order to take a judgment, the creditor usually must repossess the car, sell it at a commercially reasonable sale, credit the proceeds (less costs of taking and sale) to the account, and demand the remainder as a "deficiency" balance. If the debtor doesn't pay the "deficiency", the creditor can sue in the civil courts. The debtor usually has 30 days to answer the deficiency claim, and there are MANY, MANY defenses to deficiencies. For example...that the creditor did not give the debtor the option of a public or private sale; that the creditor, after repossession, did not give the debtor a fair opportunity to redeem the vehicle; that the creditor violated the consumer's rights in taking the vehicle without a court order over active and unequivocal protest; that the creditor overcharged the debtor on interest, finance charges, insurance premiums, documentation fees, etc. The debtor may even have a counterclaim against the creditor for violating repossession laws, which in any event would equal the finance charge plus 10% of the cash price. This is where an experienced consumer defense attorney is essential. Bear in mind, however, that the creditor can forget about the repossession of the collateral and sue directly on the obligation, which would make the debtor have to defend at an earlier stage.
Can the insurance company deny your claim for stolen vehicle if the car payments are behind?
No, that wouldn't be a reason for claim denial. It may be a reason for them to investigate you for insurance fraud.
What should one do if your car is stolen?
If one's car is stolen, the first step is to call the police and provide information on the stolen vehicle; then follow the advice of the police as quickly as possible so as not to delay recovery of the vehicle. The next step is to contact the insurance provider to process an insurance claim.
