What To Do When the Bank Repossesses Your Car
- Car Advice,
- Oct 11, 2017
Just because you buy something doesn’t mean you necessarily own it. It’s a strange reality of the world we live in.
First you’ll get a notice telling you the bank or other financial institution is going to repossess the vehicle. They must give you 30 days warning before taking the car.
• Negotiate with the provider. This might be a modified repayment plan, a delay on the enforcement of the action, or even request a hardship variation if you’re sick or unemployed.
• Provide evidence of upcoming funds that can be used to pay off the amount
• The estimated value of the vehicle
• The cost of repossession
• Any ongoing costs in storing the repossessed vehicle.
• A statement of your rights.
From there, they cannot legally sell the vehicle for a further 21 days from the issue of this notice. Assuming they’re slow with issuing their letters, this can give you 5 weeks from the day of repossession to come up with the funds to pay for the loan and repossession.
Can Someone I Know Buy My Repossessed Vehicle?
Julie took out a personal loan to buy a new car. When she lost her job, Julie fell behind on her repayments and the bank repossessed the car.
All of the above assumes you were the one who bought the car with the loan — but what if you bought a car with a loan attached to it?