Experiencing Car Repo and How to Overcome it?

Experiencing a car repo can be a very tough thing to endure. This article contains some healthy advice to help get you through it.
Car repo occurs when you can no longer make payments on a car, the bank or lender will  repo your car.

This is fairly easy for the bank to do since they already own the title to your car.  Once they get it back in their possession they will
usually try to sell it quickly and for whatever they can get for it.

Whenever possible, it is in your best interest to sell the car before car repossession.  This is because you can probably get more from it selling it yourself then the lender will get for it at a car repo auction.  If the car does get taken from you and sold at auction the difference between what you owed and the amount the car sold for is the deficit. Knowing what the deficit is is the first set to an effective settlement. Unlike the IRS or the student loan people, the lender can’t usually garnish your wages but they can sue you
for this deficit.  If you can get a little bit of money together before you are sued, you will probably  be able to settle out of
court for 25 to 50 cents on the dollar of the deficit amount.

Before you settle, make sure to get the total debt settlement value agreed upon in writing.  Also be sure to
get it in writing that they are accepting the payment as a full settlement to the total debt owed.  This will also help you clean up your

credit in the future.  Even though the debt will reflect a settlement, it should also reflect that their is a zero balance owed.

Related Articles You Might Be Interested In

Different Types of Repo Car Auctions

How to avoid Car Repossession

Avoiding Truck Repossession


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