If you are behind on your car payments, you may face repossession. Losing your vehicle is not only an inconvenience but may also threaten your livelihood and future if you no longer have reliable transportation to work or school.
At Loan Lawyers, our experienced team of car repossession attorneys can work with you and your lender to develop a strategy that will allow you to keep your vehicle if you are struggling to make your car loan payments. We have helped thousands of clients across Florida find debt solutions, and we can help you, too. Contact us today for a free consultation if you are struggling to make your monthly payment on your car.
Repossession Laws in Florida: Know Your Rights
If you fail to make even one car loan payment in Florida, your lender can repossess your vehicle. However, you still have legal rights, including:
- The right to voluntary surrender – If you know you cannot make your car payment and your lender will likely repossess your vehicle, you can opt for voluntary surrender. Your lender will meet you at an agreed-upon place and time to retake possession of the car. Arranging a voluntary surrender allows you to have some control over the repossession, maintain your privacy, and avoid repossession costs. It can also lessen the impact of having your car repossessed on your credit history.
- The right to your personal property – A lender can repossess your car, but not your personal property inside the vehicle or strapped/hooked to the vehicle (like bicycles or trailers). If your lender does not allow you to gather your property before repossession, they must notify you promptly regarding how and where you can retrieve it.
- The right to a notification of sale – Your lender can sell your vehicle to pay off your auto loan. According to Florida Statutes § 537.012, your lender must notify you of the sale at least ten days before the sale and allow you to regain possession of your car by paying what you owe plus interest and other reasonable expenses.
- The right to a commercially reasonable sale – If your lender sells your vehicle for less than your remaining loan, you will owe the difference, known as a deficiency balance. Therefore, it is illegal for them to sell your car for a price well below market value. Additionally, if your lender sells your repossessed car for more than you owe, they must pay you the excess proceeds.
How to Fight Repossession in Florida
The best approach to fighting car repossession in Florida is to be proactive. Our repossession lawyers can try to help you avoid losing your vehicle by:
- Renegotiating your loan – It usually makes more financial sense for your lender to work with you to find ways to repay your loan than it does for them to repossess your car. We can communicate with your lender and attempt to negotiate for delayed payments or a revised payment plan.
- Refinancing your loan – If your lender will not renegotiate the terms of your loan, we can help you refinance. Refinancing allows you to get a new loan with a new interest rate and terms that will hopefully make your monthly payments more manageable.
- Filing for bankruptcy – If necessary, our repossession attorneys can help you file for bankruptcy. Bankruptcy triggers an automatic stay that prevents lenders from repossessing your property or filing a lawsuit against you.
Another option to avoid repossession is to sell your vehicle yourself. You will still have to pay off your loan, but you may be able to get more money for your car than your lender could get at auction.
Wrongful Car Repossession
There are laws lenders must follow when repossessing a vehicle in Florida. Our car repossession lawyers may be able to fight a wrongful repossession if the recovery agent or agency:
- Does not have a valid state license
- Repossessed the wrong vehicle
- Threatened harm or used violence
- Repossessed a vehicle with children inside
- Injured a person or damaged personal property during the repossession process
- Carried a firearm, which is illegal for recovery agents to do in Florida
Statute of Limitations on Car Repossession in Florida
According to Florida Statutes § 95.11, the statute of limitations on car repossession is five years. This means your lender has five years from the date of your last missed payment to repossess your vehicle or sue you for the loan balance. However, as a borrower, if you cannot pay, it is in your best interest to act immediately to avoid repossession and additional financial penalties.
The statute also allows two years to sue a negligent party for compensation. This deadline may apply if you have cause for legal action against a lender, recovery agent, or recovery agency for wrongful repossession, personal injury, or property damage.
How Can a Car Repossession Lawyer Help You?
Our firm’s car repossession lawyers can help you understand your rights as a borrower and take steps to help you prevent losing your vehicle. We can:
- Review the terms of your loan
- Communicate with involved parties
- Aggressively negotiate with your lender to avoid repossession and institute a manageable repayment plan
- Fight back against wrongful repossession
- Help you refinance your vehicle
- Help you sell your vehicle or work to ensure your lender sells your car for a fair market price
- Seek to have an unjust deficiency balance dismissed
- Assist with bankruptcy if necessary
At Loan Lawyers, we have helped thousands of clients rid themselves of millions of dollars in debt. If you struggle to make your car payments, you do not have to sit and wait for the worst to happen. Our team can help you get a handle on your finances and pursue solutions that may help you keep your vehicle.
Contact Our Florida Car Repossession Lawyers Today
Loan lawyers provide affordable and effective legal representation to clients facing debt, foreclosures, and bankruptcy. If you are in danger of repossession or have already had your vehicle repossessed, we can help.
Our Florida foreclosure defense lawyers will explain your options and do everything possible to help you keep your car so you can get where you need to go. We serve clients in Miami, Fort Lauderdale, Palm Beach, and throughout South Florida. Contact us today to learn more with a free consultation.
