Stop Property Repossession In 3 Easy Steps

Car Repossession Issues Stop Property Repossession In 3 Easy Steps

Stop Property Repossession In 3 Easy Steps

When you take out a loan to finance a car or any other property, your lender maintains the title until you pay off the debt in full. If you default on your loan payment, the lender has the authority to repossess your property; to sell or hold until the debt is settled.

There are different ways to fight or stop property repossession. These avenues often require a lot of money, and legal knowledge, and take a long while to be effective. DoNotPay provides you with a fast, reliable, and cheaper way to stop property repossession. Sign up today and experience a difference in your property repossession process.

What the Law Says about Property Repossession

The specifics vary from one state to the next. But generally, the law states that a lender has the authority to repossess your property if you default on your loan payments, make too many late payments, or default on your lease payments.

  • After repossession, the lenders can sell your property to repay themselves and might sue you for defaulting the payment agreement.
  • There is no standard time the lender should take before repossessing your property, even if the payment is delayed by a day. They can act quickly unless the contract states otherwise.

Lenders can repossess your property without prior warning. However, after repossession, they should send you a complete repossession notice. The local police should receive a notice of an intended repossession from your lenders before the captivity takes place, as well.

Lenders have the authority to engage third parties such as tow companies and property repossession companies to help them with the process. Local police officers might get involved in the process if breaching of peace occurs between you and the repossessing agents.

What Is Wrongful Property Repossession?

There are instances where property repossession is considered unlawful.

Instances of Unlawful Repossession
  1. If repossession occurs after you have cleared your debt payments as agreed
  2. When the repossession agents use force or break into your premises
  3. If the police officers involved work to help the repossessing agents by ordering you or threatening you

But beyond those, most repossession cases are legal. Creditors don’t need to send you many warnings in the mail or knock on your door before they repo a vehicle or other property.

How to Get Your Property Back after Repossession on Your Own

Financial constraints may make it hard for you to keep up with your loan payments. Attachment to your property might also bring forth a confrontation with the repo agents, leading to a breach of peace. In any case, if your property is repossessed by your creditors, you should do one of the following depending on your capacity and the nature of the situation.

1. Pay the Deficiency

If you owe your creditors, and you are in the capacity to clear the debt at once, do it. This might be your best option if the debt amount is little and manageable.  

You can go ahead and obtain a low-interest loan from a credit union, family or friends to settle your debt in full and avoid any future confrontations.

2. Make Payment Arrangements with the Lender

Many lenders are willing to discuss reasonable payment plans as long as you keep your end of the bargain. The lender might require you to set up automatic payments from your bank to help you stay in the payment line.

Your lender might also ask you to sign a legal agreement committing you to clear the debt as per the agreed payment plan.

3. Negotiate a Settlement

Your lender might be willing to settle a certain percentage of your debt if you prove your financial hardships. You will however be required to settle the remaining portion of your debt in one instance.

The negotiation might bring you negative tax consequences.

4. File for Bankruptcy

If you have no financial capacity to make any payments, you can file for bankruptcy. Even if your lenders are still entitled to your debt deficiency, they will not attempt to collect their dues for a long time.

Filing for bankruptcy will not only help you with your property repossession, but also with your other unsecured loans.

5.  Sue Your Lender

Suing your lenders is only an option for reclaiming wrongly repossessed property. If you made all payments in full and your property was still repossessed, that counts as a wrongful repossession. You can contact a debt settlement lawyer to have your repossession reversed and get paid for any damages.

How to Get Your Property Back after Repossession with the Help of DoNotPay

The various ways to stop a car repo or get a car back require significant financial muscle. Suing your lenders, repo agent or the police can be a very long process. To easily, quickly and conveniently stop property repossession, use DoNotPay. We offer a platform for you to reclaim your car, house, and any other repossessed property.

DoNotPay can help you file a demand letter for wrongful possession using your state's laws and help you reclaim your vehicle. In the case the repo was valid, you will have to pay off any balance you owe in order to reclaim your vehicle. If you can't afford the payments, DoNotPay can help you ask for a payment plan or negotiate the balance you owe.

Just follow these easy steps to get started:

  1. Search "car repossession" on DoNotPay and select whether your car has been repossessed or is in danger of being repossessed.

     

  2. Enter the state you financed this vehicle in, and let us walk you through your state's repossession laws to see if your car was or is being wrongfully repossessed.

     

  3. If we can make a case for wrongful repossession, DoNotPay will file a demand letter on your behalf to the lender to fight against.

     

And that's it! DoNotPay will make sure your issue gets sent to the right place. We'll upload confirmation documents to your task for you to view, and if the contacts need more information, they will reach out to you personally via email or mail.

Why You Should Use DoNotPay to Solve Your Problems

Stopping property repossession is not the only thing DoNotPay can help you with. We work with government entities and private companies to provide easy access to multiple services.  We have simplified methods of obtaining services unlike regular official procedures which are long and tiresome.

Simply sign up on our website and enjoy the following services and more from your phone:

And that’s only the beginning. Any time you believe a lender, bank, or big organization is taking advantage of you, make DoNotPay your first resource. Try it today.

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