1. Default: The borrower or lessee fails to make the required payments, leading to a default on the loan or lease agreement.
2. Breach of Contract: The lender or lessor considers the default a breach of contract and initiates the repossession process.
3. Notice of Intent to Repossess: The lender or lessor must provide the borrower or lessee with written notice of their intent to repossess the car. This notice must be given at least 10 days before the repossession.
4. Repossession: If the borrower or lessee does not cure the default within the specified time, the lender or lessor can repossess the car. This can be done by either the lender or lessor's agent or by a licensed repossession agency.
5. Redemption: The borrower or lessee may be able to redeem the car by paying the outstanding debt and any associated fees and costs. The lender or lessor may also allow the borrower or lessee to reinstate the loan or lease agreement.
6. Sale of the Car: If the borrower or lessee does not redeem the car, the lender or lessor may sell the car to satisfy the debt. This can be done through a public or private sale, and the proceeds from the sale are used to pay off the loan or lease balance and any related expenses.
It's important to note that the specific procedures and requirements for repossession may vary depending on the type of loan or lease agreement and the county where the car is located. If you are facing a potential repossession, it's advisable to consult with an attorney or legal aid service to understand your rights and options.
