Archive for the ‘Latest Information Posts on Repossessed Cars’ Category

Bank Repossessed Cars

Saturday, June 13th, 2015

In some situations, you may end up in a poor scenario where financial institutions have to take very punitive measures in relation of missed finance payments on a car or motor vehicle. This may result in the repossession of your vehicle. But it is important to know that financial institutions will give you sufficient opportunities to resolve the issue and avoid the worst case scenario mentioned.

In effect if the bank has tried to resolve repayments from your side and has not been able to acheive this, they are bound to go into the next level where they will request legal intervention that will be required for you to be forced to repay via legal means. If that situation fails, then the bank has no alternative than to request a repossession of the vehicle due to debts owed.

Vehicles that have been repossessed are generally sold via auction by financial institutions to recover debt that may be owing to them that you may have created. Banks will look for the opportunity to get the best value of money for the vehicle, and quickly, hence why they use an auction where every indiviuals and businesses who may want to purchase bank repossessed cars will be in one place to ensure a fast deal as close to the market rate as possible.2016-Audi-Q1-render

Once they have sold the bank repossessed car, they will expunge the debt that you have through the income that they got from selling that vehicle, however, if there is a balance left in that account, the bank will still hold you liable to settle the balance. If the amount that has been received through this action is higher than what was owed, then the balance taking into account all costs including any legal costs will be paid back to yourself. In this sense, the bank is not attempting to penalise the consumer, but get back whatever is owed to them, if there is anything remaining then this can be paid back to yourself.

Finance Repossessed Cars For Sale

Monday, April 16th, 2012

During these tough times, the saying “every penny counts” could not be truer than ever. People are continuously finding ways to save their hard earned money for the rainy days. And because of this, more and more people are discovering the advantages of buying finance repossessed cars for sale. Here are a few reasons why people are opting to buy repossessed vehicles, rather than a brand new one.

Of course, the most obvious advantage of purchasing a repossessed car is the amount of potential savings it will bring to the buyer. Repossessed cars are sold at a very low price simply because the bank or auto dealer would wish to liquidate their assets in order to recover losses. The main reason for the repossession of a car is because the previous car owner was not able to make the necessary monthly payments, thus causing the bank or auto dealer to lose revenue. By selling the repossessed car at a very low price, they are able to get back their losses quicker.

Another advantage of buying a repossessed car is that you are purchasing a vehicle in good condition. Car loans usually only allow three to five years for the buyer to repay the loan amount. And repossessed cars are reclaimed from their previous owners within that time frame, thus the car is still relatively new and is still in a good condition. However, this still depends on how well the previous owner was able to do maintenance checkups or service the vehicle. But some auto dealers or finance companies opt to carry out minor repair and restoration to the repossessed car so that it could be sold at a slightly higher repossessed cars for sale

Lastly, the process of purchasing repossessed cars has been made simpler in the past few years, making it as convenient as possible. The sale of a repossessed car can be handled primarily by the bank or auto dealer, or it can be auctioned off by an auctioneer. Most car auctions would only require a couple of basic documentats providing proof of your financial capacity and you can start making bids or offers on the auctioned cars. Alternatively, there are car auctions carried out over the internet which allows a person to make bids from his home using a computer. However, it is still recommended to check the car’s current condition personally before making any offers.

The benefits of purchasing a repossessed car are obvious hence the reason for its increased popularity amongst car buyers. However, in order to be truly successful in buying finance repossessed cars for sale, it requires time and effort from the car buyer in order to ensure that he is getting the most value out of his money.

Buying Repossessed Cars

Sunday, March 11th, 2012

With the tough financial times, almost everyone is in search of ways to cut back on expenses that are not deemed to be necessary. However, some expenses that have been previously considered as luxury have become a necessity, such as purchasing a car. Fortunately, there are also ways in which one can purchase a car without spending a whole lot. This can be achieved by buying a repossessed car. However, buying repossessed used cars can be a daunting task. Here are a few things to check before making that purchase.

Where to Find Repossessed Cars
First, it is important to know where to find and purchase repossessed cars. It is best to do research to find banks, financial institutions or even auto dealerships that sell repossessed cars and carry out a visit to view the cars that they are currently selling. It would also be best to compare prices from each place of purchase and also compare the prices with brand new models to see if the buying the repossessed car will truly provide a worthwhile saving.

Do a Background Check
It is also important to check if the car’s ownership is clean as well as to check how to go about the process of purchasing it. It is best tobuying repossessed cars make sure the previous owner has fully given up the rights to the car to ensure that the purchase is one hundred percent legal. One should also ask about the payment plan that the bank or an auto dealership offers, especially if the car is being auctioned off. There are certain requirements and guidelines that need to be fulfilled before making the purchase. Thus, it is important to iron out these details even before making the final decision to buy a repossessed car.

Under the Hood
Lastly, it is also important check the car’s current condition including the car’s interior and exterior. It is best to check the vehicle’s body, paintwork, tyres, car seats and most especially under the hood. It would be best to ask for the car’s history if available to see if it has gone under any major repair or damage. If the buyer is not adept with car specifics, it would be best to seek the professional advice of a mechanic regarding the car’s condition.

Buying repossessed cars can truly be rewarding as it will bring a hopeful car owner huge savings. However, the process of purchasing it would require a person to devote time and effort in order to make sure the quality of the car purchased is not compromised just to save money.

Bank Repossessed Cars for Sale

Friday, February 10th, 2012

Almost anyone, at one point in their life, would love to have their own assets such as a house or a car. However, our global economy can be compared to as riding a roller coaster ride as one cannot be absolutely assured of its financial stability. A lot of people have lost their jobs during the recent economic crisis, and as a result more and more people are losing their properties and possessions.

Cars are one of the most common possessions that are reclaimed by the bank or a financial institution. This opens up the opportunities for aspiring car owners to purchase the car of their dreams for a lesser price.

Bank repossessed cars for sale offer an opportunity for people to buy good quality vehicles for less than its actual price. The reason is simple. Banks or financial institutions have reclaimed these cars from previous owners because of their inability to repay monthly mortgages. However, they would prefer their assets to become ‘liquid’, so to speak. Thus, banks and financial institutions would want to sell the repossessed car quickly in order to turn it into cash.

Most repossessed cars are sold with very minimal profit through car auctions or quick sale. Preparing for a car auction is very important as it can quite overwhelming for a first timer. It is best to fully research the whole process and any requirements the bank mibank repossessed cars for saleght ask before purchasing a repossessed car from an auction.

As great as it may seem, buying bank repossessed cars for sale still requires a lot of patience and thoroughness in order make sure that a person is getting a good buy for their money. Most of these cars that have been repossessed are just a couple of years old thus they often are in a good running condition. However, it should also be expected that the vehicle might require a few repairs, as the previous owner may have neglected car maintenance due to financial difficulty, which was the very reason why the car was repossessed in the first place.

Buying a repossessed car from a bank can indeed be a very good investment. It allows a person to own a car in a good condition for lesser its actual value, thus giving the car owner huge savings. However, as with any investment, it is important to research first to make sure that you are making the best possible investment for your hard-earned money.

Repossessed Car Auctions

Monday, February 6th, 2012

In our modern society, owning a car is considered a necessity rather than a luxury. However, not everyone can afford to spend thousands of dollars just to purchase a new car. Fortunately, repossessed car auctions offer a more affordable alternative to those who dream of owning and driving their own car. But before deciding to buy a repossessed car from an auction, here are a few things you should know.

What are Repossessed Car Auctions?
Banks and auto dealers that offer car loans repossess a car if the owner is unable to make payments for it. In order to make up for the money they have lost over the repossessed car, they would want to sell it quickly through a repossessed car auction. The bank or finance company would want the car to be quickly sold for the price equivalent of any outstanding loan. In reality, the bank will often look to sell quickly and recoup whatever they can. Thus, one can truly benefit from huge savings by purchasing repossessed cars.

What to Expect with Repossessed Cars
The condition of a repossessed car sold in auctions is mostly a good one. The reason is because the payment period of a loaned car usually lasts between 3 and 5 years. Repossession vehicles are obviously taken back by the bank within that time frame, thus the car is still relatively new and in good shape. Some repossessed cars have been well maintained by the previous owner until their inability to make repayments which led to its repossession. It is also important to check the car’s current condition and factor in possible repair costs. If a person does not know much about cars, it is best to bring with them a car mechanic or a person who knows about cars to check it is mechanically sound.repossessed car auctions

What to Expect at Car Auctions
A car auction can become overwhelming for first timers. It is important to come prepared in order to make sure you get your money’s worth. It is important to identify your financial capacity and limits and stick to them. Engaging in a bidding war might cause a person to go over his budget and paying a higher price than what the car is actually worth. If you are experiencing jitters, it is best to do a trial run and attend a car auction, just to get yourself familiarised with how an auction is carried out. It would also be helpful to be accompanied by a person who has experience and knowledge in car auctions and repossessed cars.

Buying a repossessed car in an auction can indeed become a bit tedious, but one’s efforts will be rewarded once they get the car of their dreams for a lesser price. And the key to this? It is to come prepared and research well before making any decision to invest at repossessed car auctions.

Repossessed Cars Questions

Wednesday, November 16th, 2011

Why are there so few sites selling repossessed cars online?
Despite the fact that there are so many products and services being sold online nowadays, places available to buy repossessed cars on the internet are scarce. This is mainly because it is easier to sell these vehicles in one location via an auction. Cars can be sold in a matter of minutes and payments can be exchanged immediately. There is no hassle of transporting cars to customers that selling via a website might have. There are repossessed car auctions operating in every major city in both the UK and USA so finding one isn’t hard. They also provide the opportunity for potential buyers to physically inspect the vehicle while the sellers are recouping money back for the loan on the car through a quick sale. Having said that, there are auction sites such as GAUK who are selling very successfully over the web.

My car is due to be repossessed, will I be charged to have it taken away?
When a car is repossessed the finance company will charge you any additional costs on top of the loan amount on the vehicle. This can include bailiff costs or the amount it costs them to get someone to tow the car away. Court costs and payment penalties can also be incurred. So therefore the answer to this question is yes.

After making regular payments and paying off the full loan on my car, the finance company repossessed my car without written warning after claiming that 7 months of payments had not been made on the vehicle. My bank statements prove I never missed a payment. What can I do?
The finance company has no right to repossess your vehicle in this way. Our advice would be to speak to a lawyer or visit the local Citizens Advice Bureau.

My car still has finance repayments outstanding, can a bailiff still come and repossess the car for a different debt eg. failure to pay parking fines?
Yes, even though the car still has finance, the car can be repossessed if the vehicle is in your name. When you owe money for an unrelated debt, the bailiffs will look to recover the debt they have come for by removing your assets. If one of your assets is your car then they will have the right to take this away. The unfortunate thing is that you will still have to pay back the loan on the vehicle even when it has been taken away so it is best to pay those parking fines.

Repossessed Cars: Subprime Car Loans On The Rise

Sunday, September 4th, 2011

The collapse of the US housing market was largely blamed on banks offering “subprime mortgages” to a large number of people. As time went on and the economy struggled more, the interest rates increased and borrowers were expected to meet repayments they could simply not afford. This resulted in a massive growth in property repossession in the United States, leaving many people homeless.

Subrime loans are those which are offered by lenders to borrowers who may not have passed the normal criteria for lending. This involves providing credit to those who may not necessarily have had access to the credit market. Examples would include people with previous debt defaults, first time lenders, people with a bad credit history etc. The loans are provided on the basis that the repayments are at a premium or higher rate. This means the borrower gets the loan but the repayment amounts are significantly higher than those with a decent credit history. The offer of obtaining a property would have seemed attractive to someone desperate for their own house but as the market suffered and interest rates increased, the number of people struggling to make repayments also did. This may have been a result of change in circumstances or loss of work, or even the fact that the cost of living is on the rise.

Following the boom in subprime mortgages, it appears banks and lenders are now targeting a whole new market – the car buyers. Credit Score company, Experian has reported a sharp rise in the number of subprime auto loans available, a change in the cautious approach which had been implemented by lenders over 2009 and 2010 following the collapse of the housing market.

People who were previously unable to buy a car because their credit was bad or because they simply couldn’t afford it are now being offered the latest models coupled with a “slightly higher loan”. For some this may be a great deal, if their financial circumstances can manage it then they may have to make slightly higher repayments but they get a car they may not have previously. For others, this can mean they are spending above their means, and the attraction of a new car pushes them to make an agreement they can’t fulfill. This can ultimately lead to their car being repossessed as they begin to miss their repayments.

Experian have stated that the percentage of subprime car loans has increased from 37.2% at the end of 2010 to almost 41% in 2011.

From a lender’s perspective the ability to repossess a car is much easier than repossessing a house. They can send the repo man out and pick up a car in a matter of hours and then resell it quickly through a repossessed car auction. In contrast, repossessing a house is much more difficult and can take a vast amount of time. This makes subprime car loans an attractive proposition for a lender as a car is a lower risk.

If you are considering a subprime car loan we would advise to check the repayment amounts and make sure they affordable for you. Don’t forget the other costs involved when owning a car – petrol, insurance, taxes etc. Also look at the interest rates and the total repayment amount, is the total viable? All of these checks can help you avoid car repossession.

Repossessed Cars Info

Tuesday, August 2nd, 2011

The majority of Americans and Brits rely heavily on their vehicles. This involves driving to and from work, picking up children from school, visiting your local store for food shopping and many other day-to-day activities. It’s something we take for granted, in reality life without your car can prove to be a huge burden. If you are unable to make repayments on your car, it may become repossessed. This can also happen for failure to make car insurance repayments in certain US states.

Once you sign a purchase contract for your vehicle, the finance organisation or creditor has rights on the car until all payments are made or when the contract ends. This contract will vary from state to state but typically a failure to fulfil the contract could result in car repossession. The creditor is not under obligation to provide any advanced warning and they have the ability to take the vehicle at any time. This can be carried out without a court appearance. The creditor also has the right to make a sale of the vehicle to a third party in order to recoup losses. Often this may be done at a cut price in order for the finance company to recoup losses and use the income against your debt. You will then be liable to pay any outstanding money following the vehicle sale. This figure will be the purchase price minus any payments you made plus the amount recouped following the sale of the car.

Repossessing the Carrepossessed cars
Depending on the state you are in, the law will vary on seizing your car. In a number of states, the finance company has the right to take the vehicle as soon as a payment is defaulted. This often comes as surprise to many car owners who go to drive the vehicle but then find out that the car has actually been repossessed.

Many creditors are more sympathetic and they will look to try and assist you based on your circumstances. It could be that they decide to provide you with a new payment plan, which meets your requirements. It’s important to get any new payments plans in writing from your creditor as a verbal agreement may not stand.

In the majority of US states, the finance company has the right to come on to your property to repossess your vehicle. This can be carried out without them having to provide you with any advanced notice. The creditor must follow guidelines when carrying out the repossession, they are not able to use any physical force or threaten to use force. They are also unable to remove the car from a garage which is closed without obtaining consent from you.

The creditor has the right to claim for any expenses incurred as additional charges following a repossession, however during the repossession if the guidelines are not met and the repo man carries out a “breach of the peace” then the creditor may be liable to pay penalties or provide compensation if there is any damage done to you or your property.

The creditor also has no rights to any of your personal possessions which are left in the vehicle following repossession. Often a repo man will provide an inventory of items which were in the vehicle when it was repossessed. Failure to recover any items can allow you to claim for them back, a lawyer may be able to assist with this process.

In certain states, creditors fit a vehicle with a device which will disable the engine rather than physically repossessing the car. This is often considered as being the same as a repossession.

Selling Your Repossessed Car
Once a car has been repossessed, the finance company has the right to sell the vehicle in order to recover losses from the loan amount. The car can be sold privately or often will end up in a public auction. This is a good place for people to buy cheap repossessed cars. In certain states, the creditor must provide you with information on what will happen with the vehicle once it has been repossessed. Certain laws also require a finance company provides you with details of the location and time of the repossessed cars for sale so that you are able to go to the auction and take part in the auction process. This gives vehicle owners the opportunity to bid for their vehicle following the repossession. Certain states operate with consumer laws which provide an owner with the ability to “reinstate” their loan by paying any defaulted payments plus any costs incurred from repossession of the vehicle. This means that you have the ability to buy back your vehicle and then continue making repayments as per the contract.

It’s important to remember that the creditor has an obligation to obtain a fair price for a vehicle once it is sold. Failure to sell a vehicle at a reasonable price can give you the opportunity to make a claim against the creditor, but they also have the right to sell it at market value, don’t expect them to get a high price. Often the price will be low as they look to make a quick sale.

Resources such as Repossessed Cars are an excellent source of advice and free information in order to help you avoid repossession. It’s important to remember that a creditor is much more likely to try and help the repossession taking place if you speak to them early on. Once the vehicle has been repossessed, it is always much harder to get them to cooperate. They may be willing to provide leniency or help you and prevent car repossession, however you can expect your credit score to be affected.

Insurance Yards

Monday, July 18th, 2011

What happens to cars damaged after accidents? What happens to your car after it has run its life? Even burnt and certainly no longer roadworthy? They end up in an insurance yard.

Insurance yards
are made up of cars or trucks which have been declared as being “scrap”. When a car is involved in an accident or is unable to be repaired, insurance companies will “write off” a vehicle thus declaring it unroadworthy. This often happens when the insurance company will decide the cost of repairing a car is more than the actual list price or current value of the car. In this case the car is scrapped or stripped down for spare parts.

Repossessed Cars
sometimes end up in an insurance yard after repossession. If the car is not worth selling on the insurance company may decide to scrap the vehicle.

These salvage yards provide a great place to go and buy spare parts for your vehicle. Instead of paying over the odds prices for parts for your car from a main parts retailer, it’s more than likely you can buy that obscure part for a fraction of the price from an insurance yard. Once the junk yard receives a vehicle, it is up to them to decide what to do with it. Sometimes they are immediately scrapped but more often than not they are held in the scrap yard to be stripped down and sold. What can’t be sold will then be scrapped and recycled. The insurance yard benefits from the money it receives from the car parts plus the recycle yards

Often they will look to sell the car on as whole. The car may be accident / damaged but even though the insurance company didn’t think it was worth repairing the vehicle it most certainly does not mean it cannot be repaired. People often buy cars from insurance yards which have suffered light or minor damage in a car accident. The cost of repairing a salvage car might save them hundreds or even thousands from the list price.

If you are looking for a spare part for your car there are some great websites which allow you to advertise parts you are looking for. The salvage yards then contact you via the website and give you prices for the spare parts. You can compare prices offered from different yards to find the best deal for you. One of these is 1st choice car parts, a free site I have used myself. Another site selling parts for extremely low prices is Ebay.

Nowadays insurance yards and salvage yards are not the disorganised junk places they may have been in the past. Thanks to computers, these businesses have a full database inventory of all their parts allowing them to make quick and easy sales in an insurance yard.

Facebook Friends Help Son Get Murdered Mother’s Repossessed Car Back

Tuesday, July 5th, 2011

A distraught son ended up losing his mother’s car to repossession after her mother. A single mother in Denver was brutally murdered by an ex boyfriend in America leaving her two children behind.

Following the murder, the car was taken by police as evidence and then automatically repossessed by the lender. Despite making the car payments after the death of his mother, Toyota failed to give back the car to the son, Aaron and ended up repossessing it. Toyota demanded the full balance of the vehicle despite receiving the repayments citing state law as giving them the power to repossess.

After Aaron posted his feelings on social networking site, Facebook, his friends decided to take matters into their own hands and began commenting on the injustice that he had received by Toyota. They posted hundreds of comments regarding the repossessed car on the Facebook page of the car manufacturer.

View the whole story here: