What can trigger auto repossession?
You may have driven off the car lot with the keys in the ignition, but until you’ve made your final car payment, your lender retains important legal rights to your vehicle. In many states, the lender can repossess the car without going to court or even warning you in advance. In general, lenders have the legal authority to seize your car as soon as you default on your loan. Again, laws vary by state. In South Carolina, for instance, the car owner can’t be declared in default until she is at least 10 days late and has received a notice of default by the lender, which gives her 20 days to catch up on her payments. Until recently, Wisconsin car lenders couldn’t repossess a vehicle without first getting a court order, unless the owner voluntarily surrendered the vehicle. Since a change in the law in 2006, however, consumers no longer enjoy that protection, and creditors must only mail the car owner a notice; the consumer then has 15 days to challenge the creditor’s notice of intent to reta
