Trying to avoid repossession by hiding your vehicle is like filling your gas tank with water to make it run – it doesn't work. The lender is going to find your car one way or another, and the repo is only going to cost you more if you try to do this because you're responsible for paying the cost of repossession. Instead of trying to hide your vehicle, let's look at some actual options for avoiding repossession.

Talk to Your Lender

Can I Avoid Repossession by Hiding My Car?This should always be your first move when you can't make your car payment. In fact, this should be your go-to move even if you think there might be a possibility that you're going to be late with your next payment – even if it isn't due for 29 more days.

Why talk to your lender when you're not sure if you're actually going to miss this payment? Because your lender is on your side. Even if they can't help you, they want to repossess your vehicle about as much as you want it repo'd (maybe even less). You might not believe it, but it's true. Repossession costs your lender money, too, both in terms of the process itself and the loss they're taking on your car.

Sometimes, talking to your lender only makes them aware of your situation, and they aren't able to offer you a solution. But the main reason to contact your lender right away if you think you're going to miss a payment is that, often, they're able to help you avoid repossession.

Ways to Avoid Repossession

There are many ways to avoid late payments on your vehicle depending on your situation, your lender, and the state you live in. However, sometimes the unexpected happens.

Here are some common reasons why you may have a late payment, and ways to solve them without going through a repossession:

  • You have the money but keep missing your due date. If you have trouble making timely payments, but the actual paying isn't an issue, you may be able to talk to your lender about setting up automatic payments to help you avoid missing any. This can be an especially helpful solution when a payment even one day late could result in repossession.
  • Something came up unexpectedly and you're unable to make a payment right now. When this happens, your lender may be able to help you by allowing a one-time deferment. Deferment is the practice of moving a payment from its due date and adding it to the end of your loan term. You may still have to pay the interest charges associated with the month you missed, but that's a far better deal than losing your car.
  • You can't afford your auto loan. If your car loan has become unaffordable, you're going to have to look into the best solution for your situation. In this case, see if you can get a deferment now, if only to give yourself the time to come up with a solution for later. In this situation, your best bet may be refinancing if the option is available to you. You may also be able to sell or trade in your vehicle for something more affordable.

Auto Credit Express tip: In order to qualify for refinancing when facing repossession, you typically need to have had your loan for around two years. Also, your credit usually must have improved from the time you took out the loan. If you decide to go this route, you can check with your own lender first, or attempt to get refinanced with another lender.

Need a Car You Can Afford?

Before you face the possibility of repossession, you should talk to your lender, as there may be more options out there than you think. If you think throwing in the towel on your current auto loan is the answer, but your still need a reliable set of wheels, make sure you're looking for advice that can actually help you.

Finally, don't be afraid to try to get financed due to a bad credit situation – let us help. When you use Auto Credit Express to find a local special finance dealership, you save yourself time and money that would be wasted driving from dealer to dealer only to be turned down by lenders that can't approve you.

Instead, just fill out our fast, free, and easy car loan request form, and we'll work to connect you to a special finance dealership in your area that has the right lenders. Our partner dealers have helped consumers with bad credit, no credit, and even bankruptcy in the past. Don't delay finding your next vehicle – get started right now!