What is legal during a car repossession?

Answer

Each state has different repo laws. Most are tied into the Uniform Commercial Code (UCC) which, although a Federal law, most States adopt. That being said, some states have different rules regarding vehicle repossessions. Some offer even greater protections than the UCC.

As such, most states do allow you the right to redeem your vehicle. As long as your vehicle has not been sold at an auction you are able to redeem for full contract price plus administrative costs. Further, most states require a redemption period. For example, in the state of Indiana, you cannot sell any vehicle prior to 10 days after the repossession. Also, most states require some type of official notification describing the redemption period and the time and place of the auction. In Wisconsin, they just recently changed the law, but prior to that, a vehicle could not be repossessed. A replevin suit had to be brought.

The fact that you "hide" your vehicle can be relevant, but more likely in front of a Judge when discussing good faith. Most statutes do not state you cannot redeem if you were hiding the vehicle. Repossession is not an absolute. Most staes allow vehicle finance companies the abililty to "self-help." However, what if the person moves out of state and didn't update their address with your client? That's not fraud or intentionally hiding a vehicle. REmember, the finance company can always sue and get an Order of Replevin. When that is ordered, the vehicle MUST be turned over. When served with a subpoena and that order, the debtor MUST disclose the location of the vehicle. Prior to that, there is no legal right to do so. Repossession is about convenience and saving of costs; it's not an absolute right. Finance companies are just cheap and try to avoid the cost and expense of a replevin suit.

First answer by Anonymous. Last edit by ReaXion. Contributor trust: 56 [recommend contributor]. Question popularity: 590 [recommend question]