If your car was just repossessed, you may be wondering where it is, and if you can get it back. There’s a lot that goes into an auto repossession, but we’re here to walk you through it.
Where Is My Car Now?
The exact location of your car is going to depend on who your lender hired to recover the vehicle. You're allowed to get your personal possessions that were in your car at the time of the repossession back, but you can’t simply locate your vehicle and take it back! Contact your lender and ask where your car is being stored, so you can recover your personal belongings.
You have a few options for getting behind the wheel again, but it won’t be for free, and it also depends on the circumstances surrounding the repossession.
Can I Get My Vehicle Back?
If you haven’t yet had your car repossessed, you may have received something called an acceleration notice. If your lender sent you this notice, it means that the entire loan balance is now due to avoid a repossession.
This isn’t an option in every state (and paying back the entire loan balance in one lump sum likely isn’t an option for most borrowers). But if you’ve received this notice it means you’re about to face a repossession and it’s almost past the time to get in contact with your lender.
If your vehicle has already been repossessed, it wasn’t likely towed away for no reason, so your next step is figuring out exactly what led to the repo. Typically, missing one or more payments is a likely reason for repossession.
Missing payments leads to defaulting on an auto loan, and depending on the language in your contract, you may not be able to get your car back unless all missed payments are made within a certain time period. This is called an opportunity to cure, and if you can catch up on missed payments by a certain date, you may be able to get your vehicle back.
After your car is repossessed, and before your lender sells it at auction, you receive a notice called post-repossession which tells you where your vehicle is going to be sold. You have the right to bid on your car, and your lender has to notify you at least 10 days before the auction date. If you have enough cash, you may be able to win your vehicle back at auction and regain possession.
Talk to Your Lender
It may not always be an option, but the best way to avoid a repossession is to talk to your lender before you miss a payment when things look dicey. Your lender likely wants to avoid a repossession, as well, since it’s a hassle and the amount they receive at auction usually doesn’t cover the loan balance.
If you’re about to miss a payment, or have missed some, reach out to your lender in open communication. Some lenders may be able to offer deferment programs if you’re facing a life change, or financial difficulties.
A deferment simply pushes your payment(s) back a few months and tacks it onto the end of your loan. You have to make up that car payment(s) eventually, but a deferment is designed to help you avoid missed payments and repossession, and allow you to keep your vehicle in hard times.
Getting Into Another Car Loan
Following a repossession, most auto lenders are wary to approve a borrower with one on their credit reports. However, if your repossession is over a year old, a subprime car loan could be your next step in getting another vehicle.
Subprime lenders work through a dealership’s special finance department, and they look at many aspects of your financial situation – not just your credit reports. To get matched to a dealer with subprime lending options, fill out our free auto loan request form. Here at Auto Credit Express, we have a nationwide network of dealerships who help bad credit, post-repo, and even bankruptcy borrowers, find the lending resources they need. Get started now!