Repossession
Personal Finance
Loans
Money Management

Does the lender pay the loan off if the car is stolen while in his possession after a repossession?

363738

Top Answer
User Avatar
Wiki User
Answered
2015-07-15 21:31:58
2015-07-15 21:31:58

NO, unless the ins. on the car pays off more than you owe.The amount the ins. pays would be the the equivilent to the auction price in the balance due on the loan.

001
๐Ÿ™
0
๐Ÿคจ
0
๐Ÿ˜ฎ
0
๐Ÿ˜‚
0

Related Questions


In the event that the possessor of the vehicle is not a contracted party, or if the contracted party is actively seeking to hinder repossession, then yes, the lender can report the vehicle stolen.

That is a decision made by the lender, and some do have photographs taken before the car is seized, but it is not a legal requirement. The repossession agent/agency does not assume responsibility for any damage to a vehicle that happens while it is being recovered.

The LENDER is responsible for every detail of a repossession. They may pass the costs of repair on to the repo company.

Pay the past due amount on the loan or pay the loan in full. In the event you are able to do this, it is a good idea to have the lender contact the repossession agency to cancel the repossession while you remain on hold. If you fail to do this, it could take several hours for them to notify the repossession agency, and your vehicle could still be taken.

the same as an invol. Depends on your state laws. If the lender has gotten a judgement, it could be a long while.

Daleann, take the car to the lender, get a reciept for the car, then drop the ins. IF it got stolen while in your possession(before repo) your LOSS would be much greater without ins. aS LONG AS THE CAR IS STILL IN YOUR POSSESSION, KEEP THE INSURANCE. ONCE THE CAR IS GONE, DROP THE INSURANCE. iT WILL BE DONE AS SOON AS YOU HANG UP WITH YOUR INSURANCE CARRIER.

While the people who work for the lender who gave you the loan on your vehicle may empathize with your unemplyment situation, the lender does not. They want the money you contracted to pay them for the vehicle. Failing to pay them, they want the car so they can have it sold and pay off part of the loan you owe. When we borrow money, we are gambling that we will be able to pay it back. Sometimes we win, sometimes we lose. It is what it is. There is no law prohibiting repossession because you are unemployed. Unemployment is the primary reason for repossession.

If the repossessed property did not sell for enough to satisfy the debt the lender may decide to seek the rest of the payment through the courts. The courts may decide to require that you sell assets to satisfy the remainder of the debt. If you do not have assets to satisfy the debt the lender may be allowed to require, by court order, that your wages be attached to make payment. While all of these are possibilities courts do not always grant all of these options.

A security deed is used as part of a mortgage type transaction. It is a conditional conveyance of the property to the lender while the debt is outstanding. Legal title is transferred to the lender although the original owner has the right to the possession use and enjoyment of the property as long as the conditions of the loan are met. When the debt is paid the lender executes a reconveyance deed of the property back to the owner.

No, Missouri has no laws that require the creditor to notify the debtor that a vehicle is subject to repossession.The lender can have the vehicle repossessed without notice as long as the repossession does not commit a breach of peace as defined by the laws in the jurisdiction where the vehicle is seized.ADDED: While the above answer may have been correct at the time it was written - it is no longer applicable.Quote: "As per the UCC, repossession is allowed and permitted as long as it is peaceful, after a Twenty Day Right To Cure Letter from lienholder to debtor. One time cure law in effect in Missouri; all others per contractual agreement." unquoteSee below link:

Yes, as long as an active repossession order exists, the vehicle will eventually be recovered. If it is seen in towing position by a recovery agent, he will take it. Keep in mind that many repossession agencies have spotters who do nothing but stake-out wanted units, or look for them in public locations where recovery agents may secure them. Any attempt to hide the vehicle or prevent the recovery could be prosecuted. Repossession is a time game, an inevitability. Hundreds of thousands of vehicles are repossessed in the US every year. Less than 1% of 1% of the vehicles up for repossession are successfully hidden for any significant time. And, some states are passing laws that will prevent parties who have active repossession orders against vehicles registered to them from registering any vehicles in that state. If you have active arrangements with the lender, hope your payment reaches them before the recovery agent is able to secure the vehicle in question. Be certain to contact the lender and get their assurance that repossession activites have been cancelled once the payment is received. Your best course of action is to take the payment to the lender, and while there have them call the repossession agency who has the active order and witness them cancelling the order.

In many states, yes. This is called hindering a linder in the recovery of collateral. In some states such as California, it is a felony, while in others it is a misdemeanor. In the event the lender obtains an order called a replevin against you, if you attempt to avoid the repossession, you will be arrested for contempt of court and the vehicle will be impounded and turned over to the lender any way.

Sorry- there IS no website where you can positively determine that a firearm is not stolen. Law enforcement uses the NCIC system, but that is NOT available to private persons. Local law enforcement MAY be willing to run the serial number of the gun through NCIC, but will need to have possession of the gun while doing it. In case it IS stolen, they have it.

You have two recourses: First, and not always effective, contact the lender and try to make arrangements to pay current with the stipulation that they will put the repossession on hold until you can pay current or break the arrangements. Second, file for bankruptcy. The automatic stay prevents the legal self-help repossession of a vehicle, and any vehicle that is secured by a lender while the stay is in place is in violation of the stay.

If the goalkeeper does not have possession, then yes. Be careful how you define "possession" before attempting it. Having a hand firmly on top of the ball while it is on the ground is possession, for example.

If your vehicle is destroyed while in possession of the tow companies lot are they responsible?

Reposession of a car can be a problematic issue. Making payments on time is the most important and crucial step to avoiding repossession. Contacting the loan or lienholder to work out separate arrangements is often a good next step, as most loan holders will find it much easier to work out arrangements than go through the process of performing a repossession. Finally, while the legality of this action would be questionable, putting the car in the temporary possession of someone somewhat disconnected to the owner may provide some respite, as the repossession company would be unable to find the vehicle to repossess it, while the customer may make arrangements with the lienholder or loan holder.

not really sure on this one but in order for the lien holder to have the vehicle in his/her posssision it had to be repossesed... and then it was stolen while it was in their possession then i would say yes.. but other wise cant really see a reason why the owner would not be the person that reports it to be stolen..... if in fact the car owner is deleinquent in payment and the car is reported stolen and the car owner goes to jail that is false imprisonment and you can sue..

The owner of the articles in the car retains possession. While a car may be repossessed with articles inside, they must be released to their owner upon request. If they're not, the company can be liable for theft and a police report may be filed.

You need very good proof it was not damaged before the repossession. Nearly impossible to do as he can say it was damaged when he got it (and he will, believe me).

Strange question. IF it was a mistake, then it wasnt a repo (ie: wrong car, not in default,ect) OTOH, the lender is responsible for any PROVEN damage done to the car while in their possession.

Debtor in Possession. The debtor (a bankrupt, normally Co), has possession of assets, that while there may be pre-BK filing claims against, it is allowed to use to secure a new credit line, with the DIP lender having priority over the original ones. It is done to provide the funds needed to keep operations and such going, maintain property for example, while the Corp re-organizes with help of the court. During the re-org process, the old debts are expected to be satisfied, a new permanent credit lender found and the DIP financing paid off.

AnswerYes, as long as it is not inside a garage or building that is either locked or unlocked. The other exception is the repossession agency may not commit a breach of peace as defined by state law while recovering a vehicle.. Also the repossession agency is not allowed to cause property damage in order to take possession of the vehicle,such as if the vehicle has a chain/cable wrapped around the rear axle secured to a pole with a padlock..They can not cut the chain/cable or the padlock because doing so is malicious destruction of property....

The owners of the property must sign the mortgage so the lender can take possession by foreclosure in the case of a default. Any co-signer should be fully informed that they will be responsible for paying the mortgage if the primary borrower defaults.The owners of the property must sign the mortgage so the lender can take possession by foreclosure in the case of a default. Any co-signer should be fully informed that they will be responsible for paying the mortgage if the primary borrower defaults.The owners of the property must sign the mortgage so the lender can take possession by foreclosure in the case of a default. Any co-signer should be fully informed that they will be responsible for paying the mortgage if the primary borrower defaults.The owners of the property must sign the mortgage so the lender can take possession by foreclosure in the case of a default. Any co-signer should be fully informed that they will be responsible for paying the mortgage if the primary borrower defaults.


Copyright ยฉ 2020 Multiply Media, LLC. All Rights Reserved. The material on this site can not be reproduced, distributed, transmitted, cached or otherwise used, except with prior written permission of Multiply.