When do cars get repossessed?

Cars get repossessed when the borrower defaults on their auto loan agreement. This typically happens when they miss several loan payments. The exact number of missed payments varies depending on the lender and the terms of the loan agreement, but it's usually three or more.

Here are some other reasons a car might be repossessed:

* Violation of the loan agreement: This could include anything from moving the car out of state without permission to modifying the vehicle significantly without lender approval.

* Failure to maintain insurance: Many lenders require borrowers to maintain full coverage insurance on the vehicle. Failure to do so can lead to repossession.

* Filing for bankruptcy: If a borrower declares bankruptcy, the lender may initiate repossession proceedings as part of the bankruptcy process.

* Death of the borrower: While not a default, the lender may repossess the vehicle if the estate can't make payments.

It's important to note that lenders typically send several notices and warnings before initiating repossession. These notices might include letters, phone calls, and even attempts to work out a payment plan. However, if the borrower fails to respond or rectify the situation, repossession will proceed.