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Repossession
Seizure of property bought on credit for which loan payments are not being received. Please note that when asking a car repossession question, it is often useful to include the state that you live in. This will enable people to give you better answers.
11,694 Questions
They should.You can dispute it with the credit agency.Send the credit agency a dispute letter .
Is it possible to be arrested for nonpayment of a car loan?
That depends on the lender and how long you've gone without paying. Usually the process is that you are contacted by the dealership. Then it may be turned over to a collections agency and a lawyer. Then you may be sued for payment. If its a small private dealership and you have the car loan in your name and you're not paying for it, it's theft, after all. I'm pretty sure the dealership can't call and have you arrested but after awhile of contacting you for payment and the court trying to get you to pay, if you don't show up for court they can serve you with papers and/or have you arrested, yes. I appreciate your response, Yinzer. The situation is just an unfortunate series of events. I got the car loan at a small bad credit/no credit dealership (I have a history of unfortunate events.) I was struggling to make the payment, but remained more or less caught up. Then I moved across country with the anticipation of a better job. The better job never happened and in 4 months I have been unable to make the payment. My ultimate intention is to return the car to the dealership and face the music, but right now I am unable financially to make the trip back to the state where I came from. They are unaware of the move and I suppose that is how I have managed to avoid actual reposession until this point. I would contact them to be upfront about the situation, but they are going to want the car back and I have no way to get it back to them at this point. That's the story - thought it might help anyone else who has an answer to this question. Thanks again. You cannot be arrested for nonpayment of a car loan period.It is a civil matter between you and the lender.The police handle criminal matters.If you are stopped by the police they don't know and they don't care its not their problem. Indirectly, yes. Not for non-payment, but if the lender goes to court and gets a court order directing you to return the collateral and you still refuse, you can be jailed for contempt of court. But you must have really PO'd the lender if he will go to that trouble and expense.
What happens if your car has been repoed after filing Chapter 13 - weeks after?
Contact your Bankruptsy Attorney. Tell him/her what has happened. They will be able to best advise you what avenue to pursue.
Look for place advertising " bad credit" "no credit" accepted. Mind you, they're not diong it out of the goodness of their heart. They're willing to take a chance on you at VERY HIGH INTEREST RATES, and if you default, they take your car in the middle of the night. Unfortunately, this is the only route for people like you, (and me). I had PERFECT credit all my life, and when my wife passed away unexpectedly, I'm in the same boat!! It sucks but if you are faithfull with your truck payments, you may be able to re-finance in a year or two......GOOD LUCK........... As noted, the consumer should use extreme caution when using these lending agencies. Such companies are referred to as "predatory lenders" and include many conditions in the lending agreement. All lenders reserve the right to repossess secured property when the borrower defaults, however lenders such as have been mentioned include clauses that allow them to circumvent the law and seize other property belonging to the borrower without due process needed.
Can your wages be garnished for a car that was repossessed?
Yes, if there was a deficiency balance owing after the car was sold at auction. Your creditor would have to sue you and obtain judgment in order to garnish your wages.
When can your car be repossed?
The most frequent cause of repossession is lack of payment on a note owed to a financing company or bank. The lender can repossess anytime after a payment is missed, but most won't start such proceeding until you've missed two or three payments. Always try to work with the lender before you get too far behind.
Can your car be repossessed if you don't have insurance?
Insurance is there to protect you while you drive. Your loan from the bank lets you keep the car. Although, most banks require you to have insurance before lending you money in the first place.
If you wanted to know whether your car can be taken away just for not having insurance, then no it can't. Just pay the bills and it is yours. You just can't drive without insurance.
AnswerYes. Part of the security agreement you signed when the bank gave you a loan says that you will keep liability, collision, and comprehensive insurance on the collateral. This is to protect the BANK's interest as well as your own financial protection. If you are in an accident, they want the collateral to be repaired or paid for and do not want to be sued for the other driver's injuries. If your insurance is terminated, the insurance company will notify the lienholder and they will repossess the car.
Repossessed. Yes. If the loan requires that the car be insured (almost always to protect the banks investment) it can be repossessed for no coverage. Repossession does not take your responsibility away from the loan on the vehicle. You are charged for fees such as towing, the auction sale loss (what you owe on the car after it is auctioned) They are never sent back to the dealer and resold. They are used cars and must be auctioned. The average "left over" on a repossessed vehicle (1-3 years old) is about $6000 that you are still responsible to pay.
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Although they CAN repossess your automobile, usually they don't - they don't want the hassle of repoing the car, selling it, and paying all the service fees, then having to try to collect their money from you.
What I have noticed repeatedly is that if you don't have insurance on the automobile, the bank/credit union/finance company will take out insurance for you. If you read the fine print on the loan agreement, there usually is a clause in there that allows them to do this.
When they do, the insurance is usually the state minimum required liability and UIM insurance, and maximum comp/collision - they want to protect their investment.
The premiums for the insurance coverage are tacked onto the loan - either the payments increase, or the term of the loan is extended to cover the insurance payments.
Considering that there are so many cut-rate insurance companies out there, you don't want the loan holder to obtain insurance for you, unless you have NO other options.
the co-signer is just as responsible for the debt as you are, hence the name "co-signer"
Can the bank repossess your car after the loan matures and you still owe?
If you still owe on the car (whether matured or not), the bank can take it if you don't pay. It belongs to them until the loan is paid and the title is sent to you.
Yes, the original creditor is not bound by the FDCPA. The collection agency must however inform the debtor that they have thirty days to request confirmation of the debt or to dispute same.
How can an eviction be removed from your credit history?
file for bankrupcty
go to the landlord that evicted you and ask them to settle the matter with you, you can then negotiate with them, and if you satisfy the agreement then you can have it at least stated as satified eviction. there is also a possibility that they will drop the case against you if you adhere to their terms.
good luck
Having a bankruptcy ony your record can be just as damaging on your credit report as having a eviction-related judgment and any correlated collection accounts. Working withthe previous landlord iis one good way to have the eviction removed, if you have a cooperative landlord and are not dealing with a large property management company. If the previous landlore is harboring any ill-will from the eviction experience and you do not feel that he will be cooperative with you, personally, then use someone else or a company to do the negotiations. Then, it should be viewed as 'all business' to him. Working with a large property management company does make the matter a bit more difficult. Another way is to thoroughly evaluate the information which will be found in your credit report and in your renter's history report. Certain discrepancies can provide you an opportunity to have your eviction removed through court procedures. If you need help with these hire an attorney or have a company like removeevictions.com do the work for you.
The note was called at that point. You can either pay off the rest of the debt and try to get your car back or you are out.
That isn't enough information. I suggest that you talk to a lawyer.
Garnishment refers to monetary recovery usually in the form of wage or bank account garnishment. Creditors are awarded judgments when they prevail in a lawsuit, judgments can be executed in several ways, garnishment of wages or levy of bank accounts, liens against real property and the seizure and sale of non-exempt property belonging to a debtor. All states have a set of exemptions that can be used by the debtor to protect real and personal property. It is highly unlikely that a creditor would attempt to enforce a judgment against items such as household furnishings even if the state exemption did not fully cover the items. Exemptions that are used to protect property against creditor attachment relating to a judgment are the same as those used in bankruptcy. There are also federal non-bankruptcy exemptions that can be used in certain circumstances.
If you want your car gone is there an easy way to give it back to the bank?
Sell it yourself. If you turn it back to the bank they will just sell it at auction (which results in far less money than if you sold it yourself) then they will require that you pay the difference between what they received from the sale and what is owed. The whole process will destroy your credit and you will not be able to get a good rate on your NEXT car or anything else that you want to buy on credit.
If you are self-employed and your car gets repossessed how does the bank take action?
The matter is the repo, not your employment. If your car is taken they will auction it off for what they can get and you will be held legally responsible for the balance. Regardless of the amount. Self employed or not. Yes, it is much harder for them to collect from you if you are self employed.
Can a collection agency in Florida garnish wages without a writ of judgment?
Florida has extremely strict laws concerning wage garnishment when it pertains to the head of household. Generally due process must be followed before writ of garnishment is granted, this means a lawsuit must be won by the plaintiff, a judgment awarded and the judgment allowed to be executed as wage garnishment. FLorida is considered a "debtor friendly" state, meaning creditor attachment upon any type personal or real property is very difficult. This however does not pertain to court ordered child supportand/or spousal maintenance (alimony); federal or state tax issues or in some instances federal student loans.
No, you'll be * 1) considered a credit risk since you didn't keep up the payments on the car loan. * 2) have no collateral for the new loan
Until you get paid up to date, your car can and probably will be picked up.
Yes, a creditor/collector has no legal obligation to accept payment for anything other than the agreed upon amount. The same premise applies to making less than the minimum payment on credit accounts as well, such action would render the agreement null and void and the creditor can legally demand payment in full.
The insurance will see it as your fault because you lost control first, the other driver probably didn't have time to react.
Go to www.visajourney.com and ask this question. I can only help you by suggesting that. There are people there who will be able to answer your question. Answer . Call the leasing company and tell them you need to surrender your vehicle back to them because you must leave the country. If it is not a lease the call the bank that holds the loan. They will be a lot happier to have the vehicle back then nothing at all.
Yes, vehicles are considered secured debt. If the BK was filed under the new reform laws which took affect in Oct. 2005, the borrower is obligated to repay the entire amount of the loan and not just the vehicle sale deficiency.
What do you do if the lender refuses to pick up your car after a Chapter 7 bankruptcy?
There isn't much you CAN do to force the issue if the lender doesn't want the vehicle. You can try: dropping the car off at the lender's place of business with a note and mail them the keys; you can write a letter stating that if they do not pick up their property you will charge them $xxx.00/day storage fees. The first thing you should do though is write a letter (phone calls are ineffective) and ask that they come take THEIR property. * If the vehicle has a low value relative to the cost of repossessing and resale the creditor does not have to recover the vehicle, but can pursue litigation for monies owed. The enforcement of the laws pertaining this issue will differ depending upon the holdings of state appellate courts.
