Make the idea known to the lender BEFORE you proceed. get it claer what is to happen.
Pay for the car and get it back, or pay the deficiency after it has been sold.
If it has been repossessed the lender will usually stop all collection activities until the vehicle is disposed of through sale. It is unusual but the lender could decide to keep the vehicle but should they do that than they waive their right to a deficiency.
The deficiency balance in every state as relates to repossession is the outstanding balance of the original principle plus fees accrued by the repossession process that remain after the resale of the repossessed vehicle.
READ your lease contract. It should specify the results of repossession.
If there is evidence of fraud, the person hiding the vehicle can be prosecuted and possibly even put in prison.
What happens is this, the vehicle gets repo'd. You still owe the deficiency after the vehicle is remarketed. The bank will take you to court for the deficiency. If you do not pay the deficiency if you are ruled against, they may garnish wages by court order. It takes legal action for wages to be garnished.
The vehicle will be repossessed and the leasor will be held responsible for the unpaid balance of the lease.
It depends on you locatily, but in general, yes, if you are behind on your payment, your vehicle can be repossessed.
by paying the bill or rebuy it at an aucton