Can a tow company hold your car if you do not have the money to get it out?

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In Illinois, yes.

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Maybe. It would depend on the laws of the state where you live. If it was impounded by the police/court then different laws would apply. Some states have forfeiture statutes also.

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In Virginia, absolutely yes. If your vehicle is legally impounded and you aren't able to come up with the money to have it released, they are under no obligation to release it without payment. Borrow some money from a friend or relative quickly, because storage fees add up quickly.

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Technically, the impound company has a lien on your vehicle for the cost of their services, in addition to any fine you must pay for release if the car was impounded for a violation. In some states the monetary lien attaches the moment the towing vehicle or impound device is physically attached to your car. Elsewhere they may be permitted to charge you only if they actually take your car. You could try to offer them some other "security" in satisfaction of their lien, such as pledging something valuable, so they will permit you to remove the vehicle from their premises if you promise to return with cash shortly.

 

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