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There are several things to consider here:
- When you purchased the car, the day you drove it off the lot, it depreciated dramatically. It was worth much less than the primary of the loan you signed.
- You contracted to pay interest on the loan. You will owe much more than the car is worth, even if it remains in mint condition, with low millage, and in perfect working order. The loan amount will exceed the value of the vehicle.
- When sold at auction, vehicles will go for only a portion of their actual worth.
- When the vehicle was repossessed, there were addtional fees added to your original remaining balance owed. There may also be contracted fees and penalties added to the remaining balance due to your default.
- All fees, penalties, and remaining balances from the original contract are typically per the contract the responsibility of the borrower.
Say you purchased a vehicle for $10,000. With even minimal interest, the final contract amount is going to be close to $20,000 or more over 5 years. Typical repossession fees can total several hundreds or thousands of dollars (recovery, storage, transport, auction, etc.). Say you paid $5,000 toward the principle, and the total contract amount with interest was $20,000. You owed $15,000. Now the repossession agency added an additional $2,000 in fees for recovery, storage, and transport. You now owe $17,000. The vehicle sold at auction for $8000, and that was applied to the loan, so you owe $9000. That amount will be collected. But, guess what, the cost of collection will be assessed to you too. And, if the collection agency is not able to secure the balance, the lender may choose to secure a judgment against you to further secure the loan and give them a longer period of time to collect it. And, the legal fees and court cost fall to you as well. Lawyers bill in the neighborhood of $150 to $1000 an hour. The original $10,000 you borrowed could now have ballooned to over $30,000.
Simple answer, yes. The lender may sue you if the car is repoed. Quite likely they will.
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∙ 12y ago
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How can you repo a car that's in a locked garage in Ohio?
NO, you cant do that in ANY state. It will get you sued quickly. Ohio Repo Laws
Can i put a gps on a car after i repo it?
No, if you do that, you could spend 10+ years in prison and be sued.
If you hide a car from repo man?
It gets reported stolen.
If the lienholder repos car due to default and you never missed a payment and continue paying off car is that no different than a regular repo?
When it gets to your CR, a repo is a repo is a repo. Theres only one.
If a car hits your car and makes you hit someone walking on the side walk who gets sued?
Who actually gets sued is up to the person that got hit, but ideally the person who hit your car first and not you.
What if your car gets reposed on a Saturday?
The repo man will get paid on Sunday...
Can the bank repo a car with a clear title?
No, if you own the car outright and there is no lien against it, no one can repo the car under normal circumstances. The only reason I could think of would be if you owed the bank money and they sued you, and the court made you put the car up as collateral.
Can you be sued if you co sign a car loan for your son and he gets into a car accident?
You can only be sued if your name is on the title as well. Financial institutions require a co- signers name on the title. But if it slipped by and your not on the title, you can't be sued.
Can you be sued if you co-sign a car loan for your son and he gets into a car accident?
You can only be sued if your name is on the title as well. Financial institutions require a co- signers name on the title. But if it slipped by and your not on the title, you can't be sued.
When does a reposession affect your credit score?
it will be on there as soon as the order gets sent to the repo company, they are the collection agency. after they repo ur car and it gets sold at auction ur credit score will change .
Can the repo man take your car if you leave your car locked behind a gate in your backyard?
No.Not if the gate is locked. They would have to get a warrent. * The repo man will not come with a warrant. The Sheriff might if the bank has sued and a court has issued a Writ of Replevin. They can come on your property and as long as they do no damage they can take the car.
If primary borrower gets behind in payments can you repo car?
If "you" are the lienholder then yes. If you're not the lienholder or their authorized agent (e.g. a repo man working for them), then no.
