The world of vehicle repossession is often a place where consumers are taken advantage of.
A vehicle repossession can significantly impact consumer credit scores and purchasing power. If the laws are broken, we may be able to help. However, time is critical.
A vehicle can be repossessed – without any warning or notice to the owner – if the payment is late, if only a partial payment is made, if the car is not covered by the required insurance, if it is being driven by an unlicensed driver, and other reasons. Otherwise, it is unlawful to repossess a vehicle.
Mandatory Notice of Intent to Sell
A business that repossesses a vehicle is required to send a “Notice” to the owner that it intends to sell your vehicle. This notice must include certain information. There is only a very short time to get your vehicle back so contact us right away if you believe your rights have been violated.
Sued for the Balance on Your Loan
After a repossession, the lender has the right to sell the vehicle at auction to reduce the amount owing on the loan, and may then sue you for any remaining unpaid loan balance (“deficiency balance”), even if the vehicle is voluntarily returned. If the original sale or repossession was unlawful, you may have a valid defense.
If you are having trouble making your car payment, the finance company may encourage you to voluntarily turn in your vehicle. What they likely won’t tell you is that this is still a repossession and they have the right to sue you for the balance on the loan after the car is sold at auction.
A repossessor is permitted to report a vehicle repossession on your credit report, hurting your credit score and your ability to buy another vehicle. If your vehicle was improperly repossessed, we can seek to have your credit report cleared.