More Americans are struggling to keep up with their car payments even as other economic indicators may appear to be on the rise. In fact, some experts are saying that the auto loan subprime bubble may be the latest to burst. In 2014, data showed the rate of car repossessions had jumped 70% in the second quarter. If you are in this situation, we encourage you to contact Allmand Law Firm, PLLC to discuss your options.
Schedule a complimentary case evaluation with Allmand Law Firm, PLLC to learn more about your options. We serve clients throughout the Dallas / Fort Worth area.
In the state of Texas, according to the Business & Commerce Code, the “secured party has the right to claim possession of collateral upon the default of a loan unless other agreements were made in a legal contract.” In other words, your vehicle can be repossessed if you stop making payments. There does not have to be a court order.
Although your creditor can take possession of your car without notice, they cannot breach the peace during the vehicle repossession. That may mean making a lot of noise, using physical force to get your keys, or breaking into your garage. If your lender or a company working on their behalf breaches the peace while repossessing your car, you may have a claim against them through a deficiency lawsuit.
If you are in this position, contact a bankruptcy attorney right away. Our team can help you by filing the required papers.
Bankruptcy may be an option for you, but we can also help you with other methods of handling the situation, including relinquishing ownership and negotiating a lower payment.
Allmand Law Firm, PLLC is experienced in helping clients:
When dealing with vehicle repossession, it’s important that you contact an attorney right away. Although you may think you can handle the situation alone, a lawyer will give you the respect of the car company and courts. Unfortunately, many car companies will disregard an individual who tries to handle a vehicle repossession alone. However, when an attorney contacts them, they will know you mean business.
Your lender may either keep your car or sell it to put the money towards your loan. However, the lender must notify you of its actions. You are allowed to know when and where the sale of the vehicle will take place. If you have questions about what happened to your vehicle, a skilled lawyer can help.
The lender must sell your car in a manner that is considered commercially reasonable. This involves standard practices and an attempt to obtain the highest price possible. If your lender does not act in a commercially reasonable manner, you may be able to file a deficiency claim against them.
If you default on a car loan, you may face vehicle repossession. If the vehicle is sold, your lender will apply the proceeds towards your loan balance. However, if the sale of the car does not cover your entire loan balance, you may have a deficiency balance. Your lender may still require you to pay the remaining deficiency balance.
If there is a deficiency balance left over after your lender sells your car, you may be able to fight their collection efforts. You can file a deficiency lawsuit against your lender if any of the following apply. The lender:
A deficiency lawsuit can be complicated. It requires legal documents, court hearings, and negotiation with the lender. In all of these situations, a vehicle repossession lawyer can help you. Allmand Law Firm, PLLC can handle the legal issues while you try to regain your life.
You can have confidence in the team at Allmand Law Firm, PLLC. We have helped tens of thousands of clients over our nearly 15 years in practice. Our lead counsel, Attorney Allmand, has a Superb Rating on Avvo and is certified in Consumer Bankruptcy by the Texas Board of Legal Specialization. You can rely on us during this difficult time.
Get in touch with Allmand Law Firm, PLLC today by calling (214) 884-4020. We can help you regain control of your finances.