Auto Loans and Financing
Repossession
Used Car Buying

What could a 'buy here pay here' auto dealer do if you just take the car back?

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Wiki User
2007-03-22 20:39:46

If you stop making payments, someone will come get the car.

Simple. If you take it back to the lot, they will sell it again.

And sell you another one when you get another down payment. If the

vehicle is recovered by the lender it will be sold at public

auction for as close to the fair market value as possible. The

borrower will be responsible for any deficit between the sale price

of the vehicle and the loan balance plus applicable repossession

fees, interest and other costs. If the borrower does not reach an

agreement with the lender for repayment of any outstanding debt,

the lender may take whatever steps necessary tht are allowed under

the laws of the borrower's state to recover monies owed, including

a lawsuit. The repossession action will appear as a negative entry

on the borrower's credit report.


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