In most cases if the car has been repossessed, the bank or the company that made the loan is not allowed to demand payment after certain period of time. this is known as the statute of limitation, which establishes the maximum time frame for legal proceedings to be initiated to collect a debt. The duration of the statute of limitation varies according to state and country, and may range from three to six years.
After the statute of limitations expires, the creditor is generally barred from taking legal action to recover the debt.
However, it's important to check the specific laws and regulations in your jurisdiction to understand the exact timelines and conditions related to the statute of limitations for debt collection.
