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If you feel like you’re on the verge of having your car repossessed, here are some things to keep in mind if it actually does happen to you.

• In some states, repossessions are not permitted. In the state of Georgia, it is permitted. Georgia gives the lender that financed your vehicle an avenue to recoup its investment if you don’t pay off your loan. Lenders may also hold your car as collateral if you default on a loan.
• If you miss one payment you are not necessarily subject to repossession immediately. If you have a late payment history with your lender you may be subject to it right away.
• Repossession agents (repo men) are typically outsourced by lenders to get cars back. Once they find your car they wait for it to be unattended and they use a tow truck to repossess it. Georgia Code Section 11-9-503 states that repossessions cannot “breach the peace” in the process. This means the company can’t break into your garage to get your vehicle. It also cannot move other cars to gain access to your car.
• After a car is repossessed it goes into a holding spot called an impound lot.
• A repossessed car will typically be held for a period of time to give you the chance to pay back fees owed, including the repossession fee.
• If you do not settle your account before the deadline the lender may sell your car at an auction and deduct the sold amount from the fees that you owed. According to Georgia law, the lender must notify you of the date and time of the sale. After this happens, you still may own money to the lender.

Contact the bankruptcy firm of George R. Belche, Attorney at Law and free yourself from the financial strains that can literally and figuratively immobilize you.

George R. Belche, Attorney at Law