What is length of time in New York before a bank would reposses a car?

Answer 1

There is no time limit. As soon as you are in debt or default on payment with the creditor, then they may repossess the goods, and this includes cars. This can be done, by law, without notice.

What the Law Says

New York law states that a lender or seller may take possession of the secured goods, on default, without going to court. The secured creditor also may, without removing the goods, render such goods unusable.

Consumers should be aware of the following provisions of the law:

1. The creditor does not have to give you any notice before coming to take away the goods.

In reality, there would probably be a period of grace while the creditor tries to recoup the asset by less dramatic means. However, legally, they can repossess immediately.

For more information on repossessed cars and how the law applies in New York, a good resource is the Better Business Bureau (see link). After a car or motorcycle is repossessed then the following applies:

Motor Vehicles and Motorcycles

New York law requires a creditor who repossesses your motor vehicle or motorcycle to notify you personally, or by special delivery first class mail, within 24 hours of such repossession. Such notice must also be given to the nearest motor vehicle district office and must include the name and address of the person, firm, or corporation repossessing the vehicle.

If your motor vehicle or motorcycle is being held under a lien for repairs or storage, the holder of the vehicle must return to you any registration plates for such vehicle upon your request within 24 hours. If the creditor fails to do this, he/she must personally deliver or mail by special delivery first class mail, a notice of such holding and the number plates of such motor vehicle or motorcycle to the nearest motor vehicle office.

To understand your rights on this and in other states visit the attached links.