Losing your possessions to creditors can be frustrating and embarrassing. To avoid this, you can get help filing for bankruptcy and restructuring your debt from a Terre Haute repossession attorney.
Have you been pushed into a corner because of financial obligations and unpaid debts? This can have unforeseen consequences, and you may soon face the repossession of your vehicle or other property. Repossession is the process by which a lender or a bank takes possession of a secured item that is tied to a defaulted loan. All secured debts are tied to a specific item, but unsecured debts resulting from credit card expenses or medical bills are not.
For instance, when you make payments to buy a vehicle, the lender retains the title to the vehicle until the loan is paid off. If you default, the lender has a right to take back the vehicle at any time of the day or night on your property, without having to go to court or give you notice beforehand. They must, however, adhere to regulations that prohibit them from “breaching the peace.” Ways to commit such breaches include:
- Forcing or threatening to use force to take the vehicle
- Removing the vehicle from a closed garage
- Seizing the vehicle over an objection
How Repossession Works in Terre Haute
You’re concerned that your vehicle or another item might be repossessed, but what will that mean for you? You may be wondering how they’ll do it and whether they’ll have a legal right to.
Unfortunately, until you finish paying off your loan on the item in question, the creditors do have a right to it, and if you “default” on that loan, they have the right to take the item back. Defaulting can happen in a few ways, but often, it means you haven’t been paying back your loan on time or at all.
If you’re unable to make your payments, creditors may seize and sell your property, reducing or removing the debt you have with them. Fortunately, even if they’ve already seized your property, your repossession lawyer in Terre Haute can explain your options for getting it back.
Filing for Bankruptcy Can Help
While bankruptcy may seem like an extreme solution to some, filing for bankruptcy can put a “stay” on any repossessions, wage garnishment, and other actions from collectors. This gives you the opportunity to restructure the debt so you can keep your property.
Keeping your property likely means you’ll be filing for Chapter 13 bankruptcy. This type gives people a chance to keep their property and end the calls and questions from creditors. With the help of a lawyer, you’ll restructure your debts so they can be paid off within three to five years.
You’ll prepare your repayment plan with a lawyer’s help. Filing for bankruptcy can stop repossession efforts or, if your property has been seized, prevent the creditor from selling your things for a period of time.
Lender Penalties for Illegal Repossession
If you have experienced a breach of the peace by a lender, consider retaining a Terre Haute repossession attorney from Rowdy Williams Law Firm to assist you in righting the violation of your civil liberties. When a lender crosses the line and engages in illegal behavior during vehicle repossession, they can face serious consequences. If you are able to prove illegal repossession, the lender may lose their right to enforce a deficiency judgment against you, be required to pay a penalty, or both. As a result, you may be entitled to receive monetary damages.
Lender Violation Attorney in Terre Haute
Knowing the laws that define illegal repossession is absolutely critical to obtaining the best result for your case. A professional who will know the law and utilize it to work for you is a lender violation attorney in Terre Haute.
A Terre Haute repossession attorney can provide comprehensive legal protection under these laws. For a consultation, call the Rowdy Williams Law Firm today in order to speak to a Terre Haute repossession attorney.