Can They Really Take Your Car? Know Your Rights When Facing Repossession
- Jeff Boe
- Feb 5, 2024
- 3 min read

The thought of having your car repossessed can be overwhelming, especially if you rely on it to get to work, school, or anywhere else. But what rights do you have in the face of a possible repossession? And how can you protect yourself? This guide explains the repossession process, your rights, and what steps you can take to protect yourself, especially if you’re dealing with harassing debt collectors or a deficiency balance.
Understanding the Basics of Car Repossession
When you finance or lease a vehicle, the lender retains the right to repossess it if you default on the loan. In most states, a single missed payment could trigger a repossession, though lenders often have their own policies.
Repossession Process in a Nutshell:
Missed Payment: Your lender can initiate repossession after a missed payment or any breach of your loan agreement.
Notice (Varies by State): In some states, lenders must provide notice before repossession; in others, they do not.
Taking the Vehicle: Lenders can hire agents to repossess your car, typically without notice.
Do You Have Any Rights When Facing Repossession?
Yes! While repossession agents have some legal leeway, you still have rights as a consumer. Here are some protections to be aware of:
Right to Notice (in Some States)
In certain states, lenders are required to provide notice of repossession. Even if your state doesn’t require it, some loan agreements may state they’ll provide notice.
Right to Peaceful Repossession
Repossession agents must peacefully repossess your vehicle. This means they can't use force, break into your garage, or threaten you. If they disturb the peace, you could have grounds for legal action.
Right to Personal Property
If repossession occurs, agents must allow you to retrieve personal items from your vehicle. They can’t keep or sell your belongings.
Right to Cure (in Some States)
A "right to cure" means you have the right to make up missed payments within a certain timeframe to avoid repossession. This varies by state and your loan agreement.
What Is a Deficiency Balance and How Does It Affect You?
After repossession, lenders typically auction the vehicle. If the auction doesn’t cover the remaining loan balance, you’re responsible for the deficiency balance—the difference between the auction price and the remaining loan amount.
For example, if you owe $10,000 but the car sells for $2,000, you may still owe $8,000 in a deficiency balance. However, debt collectors or lenders must follow specific rules when trying to collect this balance, and you have options.
Challenging a Deficiency Balance
Request Documentation: Verify how the sale was conducted and whether the amount is accurate.
Consider Filing a Complaint: If the sale was conducted unfairly or without notice, you may have grounds to dispute the debt.
Seek Legal Advice: Consumer advocacy firms like Boe & Associates can review the terms and help determine if the repossession and sale were fair.
Harassed by Debt Collectors? Know Your Rights
Once lenders pursue a deficiency balance, debt collectors may get involved. Here’s what you should know:
Your Rights Under the FDCPA
The Fair Debt Collection Practices Act (FDCPA) protects consumers from abusive debt collection practices, including:
No Harassment: Collectors can’t threaten or harass you.
Verification Rights: Collectors must verify the debt if you request it.
Right to Cease Communication: You can ask collectors to stop contacting you.
How Boe & Associates Can Help You Fight Back
Facing repossession or harassment can be challenging, but you don’t have to go through it alone. Boe & Associates has been helping consumers stand up against aggressive debt collectors, understand their rights, and defend themselves against deficiency claims for two decades. We’re committed to helping you navigate the complex world of repossession and debt collection.
Final Tips: Protect Yourself From Unfair Repossession
Read Your Loan Agreement: Understand the terms and your rights.
Stay Informed About Your State Laws: Repossession laws vary widely, and knowing your rights can make a difference.
Get Help if You Need It: If you’re struggling, consult with experts who can help.
Ready to take control? Call Boe & Associates at (651) 571-0440 or visit www.BoeAssociates.com today to see how we can help you fight back!