When a creditor repossesses a car, they are able to sell it in order to recoup the amount of money that you owe them. If the car sells for more than the amount that you owe, the creditor is required to give you the surplus funds. This is known as the "surplus proceeds" or "redemption proceeds."
The amount of surplus funds that you will receive will depend on the following factors:
* The amount you owe on your car loan
* The amount the creditor sells your car for
* Any fees associated with the sale of the car
In order to get your surplus funds, you will need to contact the creditor and request them. You will need to provide proof that you are the rightful owner of the car and that you have satisfied your outstanding debt.
The creditor will then have a certain amount of time to send you the surplus funds. The time period will vary depending on state laws.
If the creditor does not send you the surplus funds within the time period, you may be able to take legal action against them. You should consult with an attorney if you are considering taking legal action.
Here are some additional tips for dealing with a creditor who has repossessed your car:
* Make sure that you have all of the necessary paperwork. This includes your car title, registration, and proof of insurance.
* Keep in contact with the creditor. Make sure that you know what the status of your case is and when you can expect to receive your surplus funds.
* Be prepared to negotiate. If you are able to negotiate a settlement with the creditor, you may be able to get more money back than you would otherwise have received.
If you have any questions about what to do if your car is repossessed, you should contact an attorney.
