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If you are making payments on a repo deficiency you will not have to pay income tax on the amount. You would have to pay income tax on any part of the deficiency the company wrote off or forgave. The IRS expects you to claim the forgiven amount as income on your taxes.

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Q: Do you have to pay income tax on a repo deficiency that you are making payments on?
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Can you repo a car if you signed the loan but your ex-spouse is the only name on the registration and she is not making the payments?

You CANT legally. She could report it STOLEN if you did. Best thing to do is contact the LENDER and assure them that YOU will make the payments IF they will repo it. AND get the registration out of her name. They can do that AFTER repo. Good Luck and MERRY CHRISTMAS.


If you fail to complete the deposit for your down payment but are already financed and making car note payments can the car dealer repo your car for the remaining down payment?

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You cosigned to a car loan with an ex and now he's not making payments and he's out of the state?

The finance company will be coming to you for payments...even if he has the car. They will send repo men after the vehicle as well. Good luck. Never EVER co-sign for anyone.


Is becoming a repo man a good idea?

IT'S A GREAT IDEA... THEY CAN MAKE THEIR CAR PAYMENTS


If your loan is current and you turn the vehicle back in to the lender can it still be reported as a repo?

YES! A repo is a repo. If you turn the vehicle in to the lender and stop making payments this is called a voluntary repossession. The lender will sell the car and you will be responsible for the difference in what the car sells for and the balance on the loan. It will be reported to all 3 credit bureaus as a default on a loan, and your credit will be ruined for 7 years. You would however save to repo fees such as towing. Do not do this. Call the lender and work something out if possible.

Related questions

If you do a voluntary repo and get another dealerships car will that hurt your credit as bad as not making any payments for a repossession?

A repo is a repo is a repo.


Making car payments can your car be repo?

If your paying for the car, they cannot!


If your car is in the shop but you are still making payments can they repo the car?

Not as long as the payments are current and have remained so.


Can a creditor garnish social security in Texas for deficiency after repo?

NO. Social Security income is protected from creditor claims.


What can you do if you sold a car on payments privately and you still have the title and the buyer is hiding and not making payments?

First you have to find the car, then you can repo it yourself or hire a repo company to do it. Email me if you need more help. Good Luck


Is it legal to repossess your work truck when you are self-employed?

Yes, if you are not making the payments the bank can repo your truck.


Can you repo a car if you signed the loan but your ex-spouse is the only name on the registration and she is not making the payments?

You CANT legally. She could report it STOLEN if you did. Best thing to do is contact the LENDER and assure them that YOU will make the payments IF they will repo it. AND get the registration out of her name. They can do that AFTER repo. Good Luck and MERRY CHRISTMAS.


If a car is repossessed and you agree to make some kind of payments ever month will they still list it on your credit as a repo?

Yes but it will also list that you are making payments!


You are making payments on your car but are behind. can they still repo your car?

Yes, they can. Consistent communication is the car-key to your vehicular retention.


If you've been making monthly payments on your car and and you are still a month behind can they repo it?

As long as you are in default, they can repo. Try to catch up the month behind. Send $5.00-10.00, whatever.


If you are making some payments but not all can they still repossess your car?

== Repossession== If they are accepting payments - that will reflect negatively on them if they try to take you to court on a deficiency balance, however they have the right to demand full payment of the loan at any time and take the car if you don't pay. Also - if you are just sending in partial payments that doesn't mean they are accepting them. They need to agree to the partial payments and how long it will go on. You can't stop them from repo by sending in some money every month. More input from FAQ Farmers: * Yes, I have found out that if you are in default (even if you are attempting to make payments), the bank at any time, can repo your vehicle...unless otherwise stated in your contract.


Can your car be repossessed in Missouri if you are making payments but 45 days behind?

READ your CONTRACT. Its that simple. If you are in DEFAULT of the contract, they can repo the collateral.