Feb
27
What are the steps to do a voluntary vehicle repossession?
By
My husband recently had an accident, his not working. Were not able to pay the car anymore. The lender told us, if we do a voluntary reposession on the vehicle that they will sell it on an auction and depends what the price they sell the car and the rest I will need to pay. I could sell the car to they told me I called some places and they told me that it depends on what the car it’s worth and the rest I need to pay. So I just wanted some advise. Thanks a lot.
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9 Comments
February 28th, 2009 at 10:26 am
If you want to turn it in, leave them the car, sign the title and give it to them. Not knowing what the damage is or any info, that is all that I can say. If they are not there when you leave it, title by registered mail. Check all over the car before turning in, clean it reasonably (quick wash, vacuum).
March 1st, 2009 at 8:19 am
I work at a bank and we have people who drop off their vehicles to us all the time. You just have to go the bank your vehicle is financed through and turn over the keys to the manager or supervisor. The bank personell should go to the vehicle to verify it is the correct one and then you are done!
Make sure you have someone follow you to the bank so that you have a ride afterwards!
March 3rd, 2009 at 2:25 am
You want to avoid a repo at all costs! A voluntary repo is no different than a standard repo, the only difference is, you are the one initiating the process, not the lender. What will happen, is the car will go to an auction, where used car dealers, and others will bid. A 10,000 dollar car can go for 3,000. The bid is applied to your loan, the balance is your responsibility to pay. It doesn’t get you out of your loan, and for the car’s value, you never come out ahead. Do whatever is necessary to avoid this, a second job, sell off some of your valueables, or get the lender to work with you, give you some time to get back on track. A repo can ruin your credit for a minimum of seven years. Alot can happen in your life, in positive ways in seven yrs, but you will have the repo hangin’ over your head, stopping you from advancing and moving forward. Think the decision over carefully. Good luck.
March 3rd, 2009 at 10:41 am
please don’t do that
im work in a `dealer
they will ripe u off
even if u don’t have the car u will still paying that junk
its better sell in parts by ur self
because if they sell it on auction the only gona give like a 150 to 650 if it wrecked
if is fair condition like 500 to 1000
on auction u can buy very cheap even a`mercedes 05 for only 5 thousand.
don’t do the voluntary repo, it’s better keep the car
and give payments for less
they will not repo that car
they will rip you.
March 5th, 2009 at 4:48 am
Here is what I would do. Advertise the car for 30 days or put it on ebay for what the loan pay off is. Whats the worse that could happen it does not sell. Then if it does not sell call the bank and tell them they can come get it. Have who ever buys the car make a bank check right out to the lender. If the car is sold for more then the payoff the lender will cut you back a check for the overage.
March 7th, 2009 at 12:20 pm
BEWARE! A volutary repossession does noting better for your credit than a normal repossession. If you have it repossessed they will still sell it at auction and you will be charged for the difference between what it sells for, what you owe and the charges to prep it for auction, and take it to auction as well as the fees for the auction. If you sell it yourself, then you can eliminate that if you are able to sell it for what is owed. You have to cover that amount or the bank will not release the title to complete that transaction. Another avenue would be to talk to a credit counselor and make an agreement to pay. That will STILL negatively affect you credit though, and will remain on your credit bureau for 7 years. If this is not the only credit issue, then maybe consider a bankruptcy, and include the vehicle. Make sure it is a chapter 7 that completely wipes your bureau clean. It is unpleasant, but make a list of ALL debts if you decide to do so. This will give you a fresh start and you can gain new credit, these days, almost right away because you have to wait 7 years before filing again, and the banks know this. I have seen a lot of peole regain their credit score within a few years of discharge of the bankruptcy. A repo is repo though, do not let a bank tell you differently. S. Laureys
March 8th, 2009 at 7:03 am
Go bankrupt and make them eat the loan. You can get a fresh start. If you turn the car in, they’ll make you pay the rest and what have you to show for it? You have a legitimate excuse, so just do it. You’ll feel better when it’s all over with.
March 11th, 2009 at 2:29 am
Do a deal.
Tell them you may be going bankrupt.
However, you’re making offers to the many people you owe money to to see if you can avoid it.
Offer the lender what he would get at auction, telling him that would be all he would get, since you’re unable to pay. You may be paying a little more, but not much more.
Ask that the deal include no harm to your credit rating from the lender.
March 13th, 2009 at 1:06 pm
Darlin’, A repo is a repo is a repo. Voluntary schmoluntary. On your credit the loan will show as a repo. Steps to take? Drive it to wherever the loan is or a branch office. Bring the keys in to a loan officer. Just say, “Sorry rough times now. I have more important priorities.” Walk out to whomever followed you for the return ride home. Done. The repo will be on your credit for seven years. It ain’t no big deal. You’ll be able to buy a car the next day if you want. And don’t fret about paying the balance due after they sell it for less at auction. Fuggitaboutit! The balance will show on the credit as a charge off. You’ll be suprised at how little effort the lender puts into the attempt to collect. The collateral for the car loan is the car. Period! They’ve already got all their gonna get. And they know it. But if you try to be nicey nice you’re gonna get hurt. Better days are comming.