Have you fallen behind on your title loan payments? If so, you may now be worried about your car getting repossessed. After all, you used your car as collateral to take out the loan, so your Credit Access Business (CAB) has the right to sell your car and recoup their losses if you default.
Rest assured that this is a rare occurrence with VIP Title Loans. We would much rather work with you to create a repayment plan you can manage than repossess your car and leave you without a reliable form of transportation. Still, it’s wise to know what to expect from your title Credit Access Business and what actions you can take to avoid repossession.
Communicate with Your Credit Access Business
Repossession hurts title loan companies nearly as much as it hurts borrowers. So, you can rest assured that your Credit Access Business isn’t waiting to pounce on your car the moment you default on your loan.
Your best option is to keep in touch with your CAB. If it looks like you won’t be able to make an upcoming payment, let them know you’re facing an unexpected financial difficulty. It can be uncomfortable to admit to your CAB that you need more time to pay, but open communication is the key to avoiding repossession.
How Much Time Do I Have Before My Car is Repossessed?
Every title loan company has its own policies regarding car repossession. Review the contract you signed for details about your specific loan. If you default and make no effort to reach your CAB, your car could be repossessed in as little as 30 days.
What Happens If a Title Loan Company Repossesses My Car?
Credit Access Businesses must follow strict rules and regulations, using a licensed repossession agent to complete the process peacefully and professionally. Once the car is in their possession, your CAB should give you at least 10 days’ notice before auctioning it off. They must also tell you the date, time, and location of the sale.
Do your part by talking with your CAB about whether you can negotiate a new repayment contract. You may have the chance to get your payments up-to-date so you can reclaim your car and prevent it from being sold.
Find a Credit Access Business That Cares
For the best car title loan experience, find a Credit Access Business that has your best interest at heart. At VIP Title Loans, we offer numerous perks to help you save money and give you a better chance of paying your loan on time. These include flexible repayment terms, low-interest rates, and generous grace periods. Before we even think about repossessing your car, we’ll help you rollover your loan to reset the term and get you back on your feet. We’ll also work closely with you to make sure you understand the payment plan before you sign on the dotted line.