Car repossession loopholes
- when a vehicle is repossessed
- when a car is repossessed where does it go
- when a car is repossessed what happens to the plates
- what happens when a vehicle is repossessed in ontario
What happens to the debt when a car is repossessed
Repossession of vehicle by finance company!
What happens if my car is repossessed?
Even though you no longer have the vehicle, you may still be responsible for certain costs. Here’s what you need to know.
Paying for repossession
If your car has been repossessed, your lender generally charges a fee for picking it up.
This fee, however, must be reasonable.
What constitutes reasonable is generally determined by a court and depends on the type of vehicle taken, how it was taken, and where it was taken.
How soon can i get my repossessed car backYou can ask your lender to provide a list of the repossession costs.
Paying the deficiency balance or receiving the surplus
If your vehicle is repossessed and sold, you may be responsible for paying the difference between the amount left on your loan, plus repossession fees, and the sale price.
This is known as a “deficiency balance.” Similarly, if the car is sold for more than what you owe, you’re entitled to receive the surplus.
Lenders must sell the car in a commercially reasonable manner, and it can be important for you to know how much it’s sold for.
You can consult an attorney if you think the sale price in reposse
- when your vehicle is repossessed
- when car is repossessed how to get it back