An Overview of the Repossession Process

Repossession Creditors will repossess things if you have defaulted on a loan agreement. In other words, you said you’d pay for something, they trusted you would, but for some reason you didn’t make the payments on time or in full… so they take your possessions. Besides failing to make required payments, creditors can also repossess items if you’ve failed to maintain adequate insurance coverage.

While some creditors may offer a “grace period,” there’s actually nothing legally preventing them from repossessing items if a payment is late– even if it’s just one day overdue. Sometimes creditors will tell debtors they’ll accept late payments, though, giving them time to pay up before a repo man comes to take stuff away. If you’re ever in a situation like this, be sure and get the creditor’s statement that you have a certain amount of days to make a late payment in writing.

What stuff typically gets repossessed? If you guessed homes and cars, those are the top two answers. If you have rented anything with the option of purchasing it, those items can be repossessed, too. Some examples of rent-to-own items that often get repossessed include furniture pieces (such as couches, tables, and chairs), electronics (TVs, computers), and appliances (refrigerators, washing machines, etc.). Other items that tend to get repossessed include boats, motorcycles, and aircraft, as well as office/medical equipment and construction/industrial equipment. Oftentimes people buy expensive things they think they can afford only to discover they cannot– and repossession occurs.

Associates Asset Recovery of Florence, South Carolina, is in the business of collecting items that get repossessed. As you’d imagine, this involves towing a lot of vehicles. Covering North Carolina and South Carolina, Associates Asset Recovery is known for safely and efficiently securing, transporting, and storing collateral to satisfy clients’ needs. Call 1-800-488-6869 with any questions you have about asset recovery services.

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