Avoiding and Fighting Repossession: What Debtors in Alabama Need to Know
What is Repossession?
When a debtor repeatedly fails to make agreed-upon payments, their creditor has the option of hiring a repossession professional (informally known as a “repo man”) to reclaim the asset the debtor borrowed money to purchase. This is most common with cars, trucks, and recreation vehicles.
When your vehicle is repossessed, it has an immediate negative impact on your quality of life. Repossession is inconvenient, embarrassing, and loaded with downstream consequences, including…
- Difficulty getting to work to support your family
- Difficulty getting kids to school, day care, practice, etc.
- Difficulty getting family members to medical appointments
- Difficulty getting the food, cleaning supplies, and other household goods you need
- Difficulty maintaining your engagement in the local community
At the same time, the damage repossession does to your credit score can make buying your next car or truck a very expensive, complex process.
How Can You Prevent Vehicle Repossession?
Naturally, the best way to prevent repossession is to stay up to date on your vehicle payments, but at The Law Offices of Joseph G. Pleva, we understand that things come up, life gets in the way, and sometimes you find yourself behind on bills.
Communicate with Creditors
Calling your creditors can be intimidating, but transparency and willingness to talk on your part can be the difference between keeping and losing your car. If you anticipate missing or need to skip a vehicle payment, call your titleholder before your scheduled payment date, explain the situation, and work to create a payment plan that works for everybody.
If you’ve already missed your first payment, don’t sit around and wait for a letter from your creditor – be proactive! If you come to the table voluntarily before you’re 60-90 days behind on payments, you drastically increase your chances of making peace with your lienholder and avoiding vehicle repossession.
Hire a Bankruptcy Lawyer to Negotiate for You
If you just can’t bear the idea of spending hours on the phone negotiating terms or are nervous about getting snowed by a bonafide car loan expert, you can hire in an attorney to act as your agent and talk to creditors for you.
The Law Offices of Joseph G. Pleva has extensive experience helping people in Alabama negotiate with creditors of all sizes to avoid repossession, bankruptcy, and beyond. If you can’t make your vehicle payment or are already behind, contact us today for advice and car-saving strategies.
How Can You Stop Repossession Now?
If you’re getting harassing phone calls, receiving repossession notices in the mail, or hearing warnings from the neighbors about tow trucks staking out your property, there are still opportunities to either make good with your creditor through restructuring or fight the repossession, but you will certainly need an attorney on your side.
An attorney can negotiate on your behalf to create a payment plan that works or review the documentation trail between you and your lender to determine if they have followed the correct procedures. If your lawyer determines that your creditors did not communicate with you properly, your repossession can be halted or even reversed.
Get a Bankruptcy Attorney or Debt Specialist on Your Side!
If you’ve missed vehicle payments or anticipate your auto loan becoming a financial hardship in the near future, you don’t need to resign yourself to repossession! Our bankruptcy and debt specialists at The Law Offices of Joseph G. Pleva will connect you with the advice you need to restructure your loan or fight the unlawful repossession of your vehicle.