What happens when you give your car up to Voluntary Reposession?

[debden]

Since I have been seriously considering Bankruptcy to get rid of my car/payment/insurance every month what can you tell me about Voluntary Reposession? Do I let the bank know? Can they Garnish my wages?

Call me at home and at work all the time to collect the balance after it's auctioned off?

I do not know anything about reposessions and the repercussions other then it kills your credit.And how will it affect my other credit? I have quite a few CC's to boot...

And what will happen if they sue me for the balance? I have no assets to take the money from...

Thanks for any info at all.

I'm just trying to explore every avenue other than BK.

Debbie

[hoapres]

A voluntary repossession is likely to be viewed as damaging as an involuntary repossession with regards to future auto financing. You also may be losing legal defense rights by agreeing to a voluntary repossession. The lender can sue you for the deficiency balance.

[bobnurse]

i had a voluntary repo 10 years ago, and i never had to pay a dime, and they never reported.

 

I think it was an "in house" financing, cant remember. But they handled it all wrong anyhow. I told them to keep there car. They threatened to sue once, but i ignored it. I know for a fact i was lucky in this situation.

[hurricanesfans27]

i had a voluntary repo 10 years ago, and i never had to pay a dime, and they never reported.

 

I think it was an "in house" financing, cant remember. But they handled it all wrong anyhow. I told them to keep there car. They threatened to sue once, but i ignored it. I know for a fact i was lucky in this situation.

 

 

yup you were .. my DW had a mouse house auto loan back when we first met and the vehicle went back. that was her third repo. i got all of them removed with disputes including the Chrysler and FMCC loans

[bobnurse]

i had a voluntary repo 10 years ago, and i never had to pay a dime, and they never reported.

 

I think it was an "in house" financing, cant remember. But they handled it all wrong anyhow. I told them to keep there car. They threatened to sue once, but i ignored it. I know for a fact i was lucky in this situation.

 

 

yup you were .. my DW had a mouse house auto loan back when we first met and the vehicle went back. that was her third repo. i got all of them removed with disputes including the Chrysler and FMCC loans

 

Yeah, I had just gotten the car and moved out of state. I sent them a letter saying i was going to be late with my second payment. So it was about 20 days late, as i just started a new job and so forth. Next thing i know a repo man was at my door. I was so pissed. They called the car dealer "repo' man and they tried to tell me it was against the law to take a financed car out of state. She made it seem like i was going to steal the car. I was like "I sent you a letter with my new address". I told them to take the car and shove it up ther as*.

 

So i think they realized they were in error......whatever, they lost several thousand on that deal. What was so funny was i got financed a car the next day (with cosigner), and went to get the stuff out of my repoed car and they thought i was coming to pick it up with payments.....I was like why? I have a new car

[MarvBear]

Since I have been seriously considering Bankruptcy to get rid of my car/payment/insurance every month what can you tell me about Voluntary Reposession? A voluntary reposession means that YOU and the lender have exectued paperwork when you voluntarily return the vehicle to a designated place. An Involuntary Reposession means they come and got it basically against your will in a nutshell. But for all practical purposes the only difference is the "In" prefix in front of the word voluntary. A repo is a repo is a repo. Do I let the bank know? Probably should. Can they Garnish my wages? Perhaps, depending on your circumstances and your state laws.Call me at home and at work all the time to collect the balance after it's auctioned off? Yes, I believe so.

I do not know anything about reposessions and the repercussions other then it kills your credit.And how will it affect my other credit? In a derogatory fashion. I have quite a few CC's to boot...

And what will happen if they sue me for the balance? They might win a judgement against you. I have no assets to take the money from...

Thanks for any info at all.

I'm just trying to explore every avenue other than BK.

Debbie

[debden]

Since I have been seriously considering Bankruptcy to get rid of my car/payment/insurance every month what can you tell me about Voluntary Reposession? A voluntary reposession means that YOU and the lender have exectued paperwork when you voluntarily return the vehicle to a designated place. An Involuntary Reposession means they come and got it basically against your will in a nutshell. But for all practical purposes the only difference is the "In" prefix in front of the word voluntary. A repo is a repo is a repo. Do I let the bank know? Probably should. Can they Garnish my wages? Perhaps, depending on your circumstances and your state laws.Call me at home and at work all the time to collect the balance after it's auctioned off? Yes, I believe so.

I do not know anything about reposessions and the repercussions other then it kills your credit.And how will it affect my other credit? In a derogatory fashion. I have quite a few CC's to boot...

And what will happen if they sue me for the balance? They might win a judgement against you. I have no assets to take the money from...

Thanks for any info at all.

I'm just trying to explore every avenue other than BK.

Debbie

 

Thank You MarvBear for all the information about reposession.I don't think I like the sound of it at all.They can pritty much do what they want to collect the money or do nothing at all.I don't think that's a chance I want to take.

I think my only course of action is BK.I kinda knew it was the only way for me to get out from under all this credit and start anew.

Thanks.

Debbie

[chaddz3]

dont file bankrupcy.. if you have to, give them back the car, but DONT sign anything.. note the date that you lost possession of the vehicle and keep it in a safe place. Also, Keep an eye on your mailbox for a few specific letters afterwards that you have to be sent. one is a notice of disposition of collateral, that tells you they have possession, that they intend to sell it, when and where they will sell it, etc. they have to send you this by law. After the sale, they have to notify that the vehicle sold, how much it sold for, what the payoff was at the time of the sale, along with any repo/storage fee's, etc. and document all costs in to the deficiency balance. If they fail to send any of these papers, the repo is illegal, and depending on the state you live in, a deficiency balance may be denied by law. Also.. Check to see if you live in whats called a "Right To Cure" state. If you live in one of these, they HAVE to send you a right to cure default letter XX number of days before they can legally repo it. which gives you a chance to cure the default as if the default did not occur. Once everything is done and over with.. Get copies of the repo information on the vehicle from your country treasurer or DMV. you want to make sure all the info sent to you is accurate. if anything is NOT correct, the REPO is illegal and no deficiency balance is owed. Read up on your states laws regarding Repossessions, Retail Installment Sales Contracts/Agreements, Motor Vehicle Installment Contracts/Agreements and responsibilities required by the leinholder during a repossession/disposition. Make sure to find out if they followed all laws... VERY RARELY do repo's ever get done completely correctly, and if ANYTHING is out of place, you can use it as leverage to not only have the deficiency dismissed, but to remove the entire repo from your credit, and to get any collection activity related to it to stop. BUT.. you have to bring up the deal, they aint gonna automatically give up unless you press it...

 

Good Luck...

[Synacle1]

I did a "voluntary repo" last year and all I can say is FIND ANY ALTERNATIVE YOU CAN.

 

I'm trying to buy a car right now after paying the deficiency balance on the last car and it's darn near impossible. IME voluntary means nothing, a repo is a repo. If I could go back I would find a way to finance whatever amount was upside down, and sell the car to a private party or even carmax.

 

The finance co came after me for the remaining balance on the car after auction, and to top it all off they wanted payments that were 3 times what they were before repo because they said without collateral my risk assessment was too high to continue payments at a longer term.

 

The whole situation left a bad taste in my mouth.

 

 

Good luck.

[debden]

I did a "voluntary repo" last year and all I can say is FIND ANY ALTERNATIVE YOU CAN.

 

I'm trying to buy a car right now after paying the deficiency balance on the last car and it's darn near impossible. IME voluntary means nothing, a repo is a repo. If I could go back I would find a way to finance whatever amount was upside down, and sell the car to a private party or even carmax.

 

The finance co came after me for the remaining balance on the car after auction, and to top it all off they wanted payments that were 3 times what they were before repo because they said without collateral my risk assessment was too high to continue payments at a longer term.

 

The whole situation left a bad taste in my mouth.

 

 

Good luck.

 

chaddz3 Posted Jul 18 2006, 07:36 PM

dont file bankrupcy.. if you have to, give them back the car, but DONT sign anything.. note the date that you lost possession of the vehicle and keep it in a safe place. Also, Keep an eye on your mailbox for a few specific letters afterwards that you have to be sent. one is a notice of disposition of collateral, that tells you they have possession, that they intend to sell it, when and where they will sell it, etc. they have to send you this by law. After the sale, they have to notify that the vehicle sold, how much it sold for, what the payoff was at the time of the sale, along with any repo/storage fee's, etc. and document all costs in to the deficiency balance. If they fail to send any of these papers, the repo is illegal, and depending on the state you live in, a deficiency balance may be denied by law. Also.. Check to see if you live in whats called a "Right To Cure" state. If you live in one of these, they HAVE to send you a right to cure default letter XX number of days before they can legally repo it. which gives you a chance to cure the default as if the default did not occur. Once everything is done and over with.. Get copies of the repo information on the vehicle from your country treasurer or DMV. you want to make sure all the info sent to you is accurate. if anything is NOT correct, the REPO is illegal and no deficiency balance is owed. Read up on your states laws regarding Repossessions, Retail Installment Sales Contracts/Agreements, Motor Vehicle Installment Contracts/Agreements and responsibilities required by the leinholder during a repossession/disposition. Make sure to find out if they followed all laws... VERY RARELY do repo's ever get done completely correctly, and if ANYTHING is out of place, you can use it as leverage to not only have the deficiency dismissed, but to remove the entire repo from your credit, and to get any collection activity related to it to stop. BUT.. you have to bring up the deal, they aint gonna automatically give up unless you press it...

 

Good Luck...

 

Wow.Thank you both for your input.Completely different views.

I really wish there was another way besides BK or REPO...I don't like either choice but If I have to go with one it would have to be the BK.I do not want to BK all my credit away but what else can I do? I don't have any way to pay or borrow $3,600 for the upside down amount. My god it might as well be 3 Million! I just don't have the resources to come up with that kind of money.

I have exhausted every avenue and I'm running out of time.My car loan is already two months behind and on August 14th it'll be three months behind.I don't know how long they wait to decide to 'repo' it for being late but I know it won't be much past the 3 month mark.

Anyone who can make comment/suggestions? I'll take any help right now.

Thanks so much for all the input.

Debbie

Edited July 21, 2006 by debden

[sbbent]

You could try to get a loan through prosper. There is a sub-forum in the main credit forum for prosper info and loans.

 

I've BTDT with voluntary repo and BK. It's not the end of the world, but it's definitely a last resort and something to try to avoid if at all possible.

 

Good luck!

[hoapres]

Definitely with regards to auto financing, OP needs to run the numbers and determine if the present debt load is unserviceable. If OP has no realistic ability to serve the debt then the best course of action may be to file BK and move on.

[debden]

You could try to get a loan through prosper. There is a sub-forum in the main credit forum for prosper info and loans.

 

I've BTDT with voluntary repo and BK. It's not the end of the world, but it's definitely a last resort and something to try to avoid if at all possible.

 

Good luck!

 

I did go to the Prosper website and look into getting a loan from them but I'll be paying more a month then I am right now.It just didn't work for me.I tried looking at just getting the 'upside down' amount and the whole amount I owe on the car but with their high interest rates it shoots my payment waaaay up.

It would put me in a worse position then I am right now.

I even thought about a loan for around $1000 to catch myself up but what about 4 or 5 months down the road when the money is gone from that loan and I'm starting to get behind again? I'll be in the same boat I was in the first place. So it kinda defeats the purpose......I mean adding on another debt.

Thank you for the suggestion though...

Debbie

[debden]

Definitely with regards to auto financing, OP needs to run the numbers and determine if the present debt load is unserviceable. If OP has no realistic ability to serve the debt then the best course of action may be to file BK and move on.

 

I think your right hoapres.The only avenue for me is BK.I really wish it wasn't. I don't want to lose all my credit I've built up but if I get a 'Repo' on my credit report I might as well file BK because all my credit will be in the sh_t hole anyway.

Thank you for your reply.

Debbie

Edited July 22, 2006 by debden

[Seabee]

You could try to get a loan through prosper. There is a sub-forum in the main credit forum for prosper info and loans.

 

I've BTDT with voluntary repo and BK. It's not the end of the world, but it's definitely a last resort and something to try to avoid if at all possible.

 

Good luck!

 

I did go to the Prosper website and look into getting a loan from them but I'll be paying more a month then I am right now.It just didn't work for me.I tried looking at just getting the 'upside down' amount and the whole amount I owe on the car but with their high interest rates it shoots my payment waaaay up.

It would put me in a worse position then I am right now.

I even thought about a loan for around $1000 to catch myself up but what about 4 or 5 months down the road when the money is gone from that loan and I'm starting to get behind again? I'll be in the same boat I was in the first place. So it kinda defeats the purpose......I mean adding on another debt.

Thank you for the suggestion though...

Debbie

 

As a small Prosper lender I want to thank you about being honest and realistic about your situation. Many would just take out a Prosper loan and default in a few months when they file BK. We need more people like you.

[debden]

You could try to get a loan through prosper. There is a sub-forum in the main credit forum for prosper info and loans.

 

I've BTDT with voluntary repo and BK. It's not the end of the world, but it's definitely a last resort and something to try to avoid if at all possible.

 

Good luck!

 

I did go to the Prosper website and look into getting a loan from them but I'll be paying more a month then I am right now.It just didn't work for me.I tried looking at just getting the 'upside down' amount and the whole amount I owe on the car but with their high interest rates it shoots my payment waaaay up.

It would put me in a worse position then I am right now.

I even thought about a loan for around $1000 to catch myself up but what about 4 or 5 months down the road when the money is gone from that loan and I'm starting to get behind again? I'll be in the same boat I was in the first place. So it kinda defeats the purpose......I mean adding on another debt.

Thank you for the suggestion though...

Debbie

 

As a small Prosper lender I want to thank you about being honest and realistic about your situation. Many would just take out a Prosper loan and default in a few months when they file BK. We need more people like you.

 

Wow alacombe,Your welcome. I couldn't imagine taking advantage of someone's generosity (such as on the Prosper website where one person loans money to another) without any reguard as to how I was going to pay it back.

It's bad enough I have credit cards and a car loan I cannot pay.I felt so bad about it I ended up using the money I had for the BK filing fee and paid my bills!

Hopefully there are more people out there that would be honest and realistic about their financial future and not take advantage of another persons generosity.

Your kind words were really appreciated.

Debbie

[chaddz3]

ALot of it is going to depend on your actual situation...

 

the reason i behind my ideas was that was the most logical way to fix the problem at the time.

 

a little background so you might compare your situation to mine to make a more informed decision.

 

in my case i had a loan on a car that was upside down from the time i signed at the dealer, i was upside down about 6000 bucks the day i bought it (back when i was young and had no idea what i was doing).

 

Well about 6 months in to the loan life gets in the way the way it just loves to do and making the minimum payment wasnt an option so i paid what i could.. I never heard anything from them about this being negative so i figured it was no big deal (this was in 2000)... life turns around and im making regular ontime payments again until Feb of 2003 comes along... i get a notice of right to cure default letter in the mail... i thought ok what the hell is the deal, i been making payments as far as i can recently remember.. so i call em.. they tell me the loan is 3 payments behind, but in the records on the ladie's computer i was talking to she was seeing payment history as in good standing for as far back as it would let her look. She couldnt find the default either... anyway they do an audit on the account and find my partial payments from the first year of the loan and with the missed part of the payment plus accured interest, it equaled 3 payments... well ok... this is nice to know. 2 years later... anyway ok fine im 3 payments behind, i wanna keep the car, get back on track and fix it... i struggled to make the minimum as it was but could pay a little extra on what payments i had left (year and a half to go on the loan) or have them defer the 3 payments at the end... (hey i figure they make a little more interest, i keep the car, they get paid, everyones happy), but i was told they wouldnt accept that, i needed to pay the delinquent balance NOW. well that wasnt an option so i did a voluntary repo, told them they were getting the car back and they werent getting another dime from me. and i basically left the car in front of the door to the bank with the back bumper about 2 inches from the glass, locked the keys inside, took my plates and left it. I did this on the first of May... now fast forward to the end of june, they call wanting their deficiency... they never sent any letters they were supposed to after they got possesion of thier intent to sell, etc. (like they are supposed to), i told em to pound sand that i wasnt paying, and they could eat the thing for all i cared... this went on for about a month or so, then i didnt hear anything at all until Mar of 2005 when a JDB bought the deficiency balance and started trying to "strong arm" me in to paying it. This is when i started looking in to all the laws regarding repos in my state and what they all had to do and what they couldnt do... compared it with my situation and realized they screwed up after i gave it back by not following my state laws and UCC laws during and after the sale of the car.. I ended up having to complain to my states AG and the AG of the JDB, and i had to threaten a FDCPA and FCRA lawsuit against the JDB and OC, but they both dropped the issue and deleted the repo from my reports within a couple months after i started fighting them using the laws.

 

THis is why i suggested a repo as opposed to the bankrupcy, both suck i know, but the repo is easier to get rid of than a BK, IMHO, because as i found out during my research, the left hand dont know what the right is doing and mistakes are made during the process that create fatal flaws in their case for a deficiency and thier ability to report the repo on your credit legally.

 

the important thing to remember is look at all of your available options and choose the one thats going to be the easiest to recover from and does the least amount of damage.

 

Good Luck, i hope whatever path you choose works out the way you want it to.

[debden]

ALot of it is going to depend on your actual situation...

 

the reason i behind my ideas was that was the most logical way to fix the problem at the time.

 

a little background so you might compare your situation to mine to make a more informed decision.

 

in my case i had a loan on a car that was upside down from the time i signed at the dealer, i was upside down about 6000 bucks the day i bought it (back when i was young and had no idea what i was doing).

 

Well about 6 months in to the loan life gets in the way the way it just loves to do and making the minimum payment wasnt an option so i paid what i could.. I never heard anything from them about this being negative so i figured it was no big deal (this was in 2000)... life turns around and im making regular ontime payments again until Feb of 2003 comes along... i get a notice of right to cure default letter in the mail... i thought ok what the hell is the deal, i been making payments as far as i can recently remember.. so i call em.. they tell me the loan is 3 payments behind, but in the records on the ladie's computer i was talking to she was seeing payment history as in good standing for as far back as it would let her look. She couldnt find the default either... anyway they do an audit on the account and find my partial payments from the first year of the loan and with the missed part of the payment plus accured interest, it equaled 3 payments... well ok... this is nice to know. 2 years later... anyway ok fine im 3 payments behind, i wanna keep the car, get back on track and fix it... i struggled to make the minimum as it was but could pay a little extra on what payments i had left (year and a half to go on the loan) or have them defer the 3 payments at the end... (hey i figure they make a little more interest, i keep the car, they get paid, everyones happy), but i was told they wouldnt accept that, i needed to pay the delinquent balance NOW. well that wasnt an option so i did a voluntary repo, told them they were getting the car back and they werent getting another dime from me. and i basically left the car in front of the door to the bank with the back bumper about 2 inches from the glass, locked the keys inside, took my plates and left it. I did this on the first of May... now fast forward to the end of june, they call wanting their deficiency... they never sent any letters they were supposed to after they got possesion of thier intent to sell, etc. (like they are supposed to), i told em to pound sand that i wasnt paying, and they could eat the thing for all i cared... this went on for about a month or so, then i didnt hear anything at all until Mar of 2005 when a JDB bought the deficiency balance and started trying to "strong arm" me in to paying it. This is when i started looking in to all the laws regarding repos in my state and what they all had to do and what they couldnt do... compared it with my situation and realized they screwed up after i gave it back by not following my state laws and UCC laws during and after the sale of the car.. I ended up having to complain to my states AG and the AG of the JDB, and i had to threaten a FDCPA and FCRA lawsuit against the JDB and OC, but they both dropped the issue and deleted the repo from my reports within a couple months after i started fighting them using the laws.

 

THis is why i suggested a repo as opposed to the bankrupcy, both suck i know, but the repo is easier to get rid of than a BK, IMHO, because as i found out during my research, the left hand dont know what the right is doing and mistakes are made during the process that create fatal flaws in their case for a deficiency and thier ability to report the repo on your credit legally.

 

the important thing to remember is look at all of your available options and choose the one thats going to be the easiest to recover from and does the least amount of damage.

 

Good Luck, i hope whatever path you choose works out the way you want it to.

 

 

chaddz3,Thank you for taking the time to explain your situation to me so I better understand why you let them repo your car.I don't think I have the guts to let them reposess my car in the hopes that they make a mistake and forget to comply with the state laws reguarding automobile reposessions. It's just a gamble I don't want to take.

You handled the reposession really well and in the end YOU won.Good for you! There should be an easier way for people to get rid of a car they don't want anymore besides the two ways that kill your credit.It doesn't make sense to me....

Thanks for the good wishes.

Debbie

Edited July 23, 2006 by debden

[Captincharge]

i had a voluntary repo 10 years ago, and i never had to pay a dime, and they never reported.

 

I think it was an "in house" financing, cant remember. But they handled it all wrong anyhow. I told them to keep there car. They threatened to sue once, but i ignored it. I know for a fact i was lucky in this situation.

 

 

yup you were .. my DW had a mouse house auto loan back when we first met and the vehicle went back. that was her third repo. i got all of them removed with disputes including the Chrysler and FMCC loans

 

 

I need help guys I have a repo that was approaching a year old. With in the last two months 2 companys have purchased it And i PRETTY MUCH SAY FORGET IT!! What is the repocussion of not paying? How can I get out of paying are paying less. I got behind on the payment and to make matters worst had just made a payment the day prior to repo. I had a verbal agreement with the guy that if I paid he would put one payment on the back & I would have to figure out how to make another!! I want to move forward but the repo ususally scars every fin. company. The other bad thing is that my wife is really upset cause her credit was really good prior to the repo. We just got turned down for auto fin by 4 dealers. All of them want like 3-6k down with monthly @ 7-900. Somebody explain how I can get this off my credit!! Thanks for the info I love this board!!

[hoapres]

Previous poster may want to start a new thread in the Credit Forum for better responses. A repo on the CR is among the most damaging item for future auto financing. I suspect that your prospects of getting sued for the deficiency balance is low as CAs probably won't have all the evidence i.e. paperwork to show that the stautory notices were filed to sue for the deficiency balance. You can attempt to dispute to get the repo off the CR.

[LindseyM26]

dont file bankrupcy.. if you have to, give them back the car, but DONT sign anything.. note the date that you lost possession of the vehicle and keep it in a safe place. Also, Keep an eye on your mailbox for a few specific letters afterwards that you have to be sent. one is a notice of disposition of collateral, that tells you they have possession, that they intend to sell it, when and where they will sell it, etc. they have to send you this by law. After the sale, they have to notify that the vehicle sold, how much it sold for, what the payoff was at the time of the sale, along with any repo/storage fee's, etc. and document all costs in to the deficiency balance. If they fail to send any of these papers, the repo is illegal, and depending on the state you live in, a deficiency balance may be denied by law. Also.. Check to see if you live in whats called a "Right To Cure" state. If you live in one of these, they HAVE to send you a right to cure default letter XX number of days before they can legally repo it. which gives you a chance to cure the default as if the default did not occur. Once everything is done and over with.. Get copies of the repo information on the vehicle from your country treasurer or DMV. you want to make sure all the info sent to you is accurate. if anything is NOT correct, the REPO is illegal and no deficiency balance is owed. Read up on your states laws regarding Repossessions, Retail Installment Sales Contracts/Agreements, Motor Vehicle Installment Contracts/Agreements and responsibilities required by the leinholder during a repossession/disposition. Make sure to find out if they followed all laws... VERY RARELY do repo's ever get done completely correctly, and if ANYTHING is out of place, you can use it as leverage to not only have the deficiency dismissed, but to remove the entire repo from your credit, and to get any collection activity related to it to stop. BUT.. you have to bring up the deal, they aint gonna automatically give up unless you press it...

 

Good Luck...

[LindseyM26]

When i woke up this am to a repo person at my door i freaked out im only the co signer and we needed to get rid of the truck we have other cars that r paid for etc but i was so upset and worried about my credit etc and my bfs credit it will be better for us to not have the note and insurance but what happens when we get the bill for the remanding balance??? And i live in Louisiana i tired doing what u said and researching our repo laws but didnt quite understand they did not send us a letter before showing uo to get the truck she asked if my bf the ower of it was home he wasnt and not there comming back today to get it i juat cryed and freaked out does Louisiana Laws say they should of sent me a letter? R the following letters they say where its to b sold etc.. Please let me kno u can email me as well lindseymarie6460@yahoo.com would appriciate any help on this thankx

dont file bankrupcy.. if you have to, give them back the car, but DONT sign anything.. note the date that you lost possession of the vehicle and keep it in a safe place. Also, Keep an eye on your mailbox for a few specific letters afterwards that you have to be sent. one is a notice of disposition of collateral, that tells you they have possession, that they intend to sell it, when and where they will sell it, etc. they have to send you this by law. After the sale, they have to notify that the vehicle sold, how much it sold for, what the payoff was at the time of the sale, along with any repo/storage fee's, etc. and document all costs in to the deficiency balance. If they fail to send any of these papers, the repo is illegal, and depending on the state you live in, a deficiency balance may be denied by law. Also.. Check to see if you live in whats called a "Right To Cure" state. If you live in one of these, they HAVE to send you a right to cure default letter XX number of days before they can legally repo it. which gives you a chance to cure the default as if the default did not occur. Once everything is done and over with.. Get copies of the repo information on the vehicle from your country treasurer or DMV. you want to make sure all the info sent to you is accurate. if anything is NOT correct, the REPO is illegal and no deficiency balance is owed. Read up on your states laws regarding Repossessions, Retail Installment Sales Contracts/Agreements, Motor Vehicle Installment Contracts/Agreements and responsibilities required by the leinholder during a repossession/disposition. Make sure to find out if they followed all laws... VERY RARELY do repo's ever get done completely correctly, and if ANYTHING is out of place, you can use it as leverage to not only have the deficiency dismissed, but to remove the entire repo from your credit, and to get any collection activity related to it to stop. BUT.. you have to bring up the deal, they aint gonna automatically give up unless you press it...

 

Good Luck...

[MarvBear]

The previous post probably should not put your email address in a post. I'll remove it, if you wish.

 

And you might wish to direct this question in the main credit forum, for more views and responses.