We hope the articles below help you understand your rights as a consumer. You can scroll through the titles, or sort by Practice Area or Topic. You can also use the search feature to locate information by keyword.
Flitter Milz represents people with a variety of problems involving consumer credit and collections. If you have a particular question or believe your consumer rights have been violated, Contact Us for a no cost consultation.
The decision to purchase a new vehicle is exciting. Whether it’s your first car purchase or not, the freedom of mobility and independence is invaluable. You can go anywhere, whenever you like.
But cars are expensive. Buying a vehicle that suits your needs and your budget can be a challenge. Often, the vehicle that you would like to drive may not be the one that you can afford. Become an educated buyer.
Continue reading Tips on Purchasing a Car →
Before any major purchase, it’s important to do some research to make sure you stay within your budget and get the most for your money… and cars are no exception. A new vehicle is a large expense and requires some planning. This is especially true if you choose to secure an auto loan to make it more affordable. Here are some steps you should take before you finance an auto loan.
Continue reading 8 Things To Do When Buying a Car →
If you’re going through financial hardship or a difficult life event, it can be challenging to keep up with your car loan payments. Your vehicle is collateral, or your pledge to a lender that you’ll repay the loan. If you default on the terms of your loan agreement, the lender may choose to repossess your vehicle. They’re not required to contact you before the repossession.
If your car was recently repossessed, you may be wondering what happens next. Do you still owe the payments that you missed on your loan? Do you still owe the full balance after your car is sold?
Continue reading Do I Still Owe Money After My Car was Repossessed? →
Vehicle repossession is inconvenient and worrisome, but it is possible to get your car back. After the repossession agent comes, the lender is to send the borrower a repossession notice, frequently called a Notice of Intent to Sell Property. This notice will inform the borrower of terms to get the vehicle back. Sometimes the lender will demand a full loan payoff, while other times, past due payments may be accepted. This notice informs the borrower of the vehicle’s location, the cost of repossession and any storage charges. The borrower usually has 30 days to arrange for retrieval of any personal property from the repo lot.
Continue reading How Do I Get My Repossessed Car Back in Pennsylvania? →
Sometimes things come up and you miss a payment on your auto loan. To avoid a vehicle repossession, you need to act quickly.
Continue reading How to Avoid Vehicle Repossession After a Late Payment →
Shopping for a new vehicle can be overwhelming on its own without even considering the auto loan application process. But if you don’t take the time to research and compare auto loans, you may end up with a bad deal.
Before you begin to shop around for the best deal, check your credit report. Your overall credit will give you a general idea of what interest rates to expect. You should also consider your budget and how much you can afford to spend each month on vehicle loan payments. It’s important to make a purchase that you can afford. If you fall behind on loan payments, your vehicle may be at risk for repossession. A vehicle repossession negatively affects your credit for up to seven years. You should also keep in mind that shorter term loans will mean that you pay higher monthly payments, but less over the course of the loan.
When you apply for an auto loan, your credit score will take a slight hit. The credit bureaus will treat several loan applications made within a short time frame as a single application. If you were to receive credit denials from several potential lenders, your credit report could be impacted negatively and your credit score may drop.
Flitter Milz is a consumer protection law firm that represents victims of vehicle repossession. If a borrower defaults on a bad auto loan and the vehicle is repossessed, Flitter Milz will evaluate whether the lender violated the borrower’s consumer rights. If your vehicle has been repossessed in the past six years, Contact Us for a free evaluation.
Before applying for any new line of credit, it’s good practice to check your credit report and credit score. Auto loans are no exception. A credit check will give you a good idea of where you stand and what type of interest rates you can expect. It’s also important that you verify that all of your information is correct and dispute any inaccuracies that may be bringing down your score.
However, credit scores that fall in the non-prime (620-679) and subprime (550-619) ranges may not necessarily indicate that you aren’t eligible for a reasonable interest rate. Lenders often use different tiers according to their own business needs to assess creditworthiness.
Lenders also frequently place more weight on credit history that is specific to auto loans. Timely auto loan payments in your credit history are more important than whether or not you make credit card payments on time. Always shop around to compare rates before signing an auto loan agreement.
Flitter Milz is a consumer protection law firm that pursues matters against lenders, debt collectors and the credit bureaus. If a lender wrongfully repossesses a vehicle, a debt collector is abusive or the credit bureaus report information inaccurately, the consumer may have a lawsuit to pursue. For a no cost legal evaluation, Contact Us .
Purchasing a new vehicle is a major decision, especially when you need to secure a loan in order to do so. Not only are you shopping for a car, you’re also shopping for the best interest rate and loan agreement terms. This process can be even more difficult if you have poor credit.
A negative credit history can make it more difficult to find an agreement with reasonable interest rates and can also make it more challenging to get your application approved. It’s important to prepare and research ahead of time before you make a decision to ensure that you choose the best option for your situation. You may run the risk of a vehicle repossession when the loan agreement terms present challenges to your finances.
The vehicle is considered collateral in a loan agreement. As the borrower pledges repayment of the loan, collateral is a form of security for the lender. If a borrower fails to make payments under the loan agreement, the lender has the right to repossess the vehicle. A repossession will further harm your credit and negatively impact your history for up to seven and a half years.
When you need to secure a loan for the purchase of your new vehicle, take steps to make sure you get the loan that is right for you. If you enter a loan agreement with unfavorable terms, you may not be able to make loan payments in full and on time. When the terms of the loan have been broken, the lender may take steps to repossess your vehicle.
Flitter Milz is knowledgeable about the laws governing repossession of cars, trucks, motorcycles, boats and RVs. If your vehicle has been repossessed, Contact Us. We will review the details of your case at no cost, and evaluate whether your consumer rights were violated.
Repossessing a VehicleUnexpected life events, such as a job loos, divorce, illness, or death in the family, may have sever impact on meeting financial obligations. When a vehicle is financed through a bank or credit union, the lender has the right to repossess the car if the borrower has defaulted on the terms of the loan agreement. For example, if you don’t make timely payments or if insurance lapses, the lender can repossess the car. The lender is not required to notify the borrower in advance of the repossession.
Usually, the lender will arrange for a repossession agent to locate the car and seize it. The repossession truck could come to your home, place of employment, or even a shopping center or restaurant where the car is parked. When seizing a vehicle, the repo agent may not “breach the peace”. This means they can not use physical force, threaten force, or remove your car from a secured area without your permission.
The lender will send a written Notice of Repossession, to the consumer AFTER the vehicle has been taken. This letter, sometimes called a Notice of Intent to Sell Property, will indicate terms to retrieve the vehicle within a specific period of time. If the borrower is not able to meet those terms, the lender will arrange to sell the vehicle at an auction or private sale. Once the car is sold, the lender will send a second letter, called a Deficiency Notice, to the consumer. This letter will detail the selling price of the car, any repossession and storage fees, and the total balance owed to satisfy the loan.
If your car, truck, motorcycle, boat, or RV has been repossessed, a qualified consumer protection attorney can evaluate whether your rights have been violated. It will be important for you to provide a copy of your signed Retail Installment Sales Contract or loan agreement, along with any repossession correspondence from the lender to the attorney.
Consumers will often keep their loan agreement in their car, which presents a problem if the vehicle is repossessed. In that situation, there are three ways to obtain a copy of the loan agreement.
1. Contact the lender: Write, call, email, or visit a local branch.
For example: If you had a loan with Peoples Security Bank & Trust and lived near their Scranton, PA branch, you could contact the bank office directly to request a complete copy of your loan agreement. You may need to get the bank’s contact information from a car loan statement, phone book listing, or by searching online. You will find their address, branch phone number, and email address.
Once you reach a bank representative in the repossession department, request they provide you with a complete copy of your loan agreement..
2. Visit the repo lot and obtain all of your personal belongings.
3. Contact the car dealership where the vehicle was purchased. The dealership often keeps copies of all loan agreements. You could visit the dealership to obtain a copy, or the dealership may be able to send a copy by fax, email, or through the US Mail.
Remember, when requesting a copy of your loan agreement, be sure to obtain a complete copy, front and back, and make certain that the copy is legible.
Whether you fell behind on payments or not, borrowers have legal rights when the lender or repo agent has wrongfully repossessed the vehicle. Flitter Milz is a nationally recognized consumer protection law firm that represents consumers who have had a vehicle wrongfully repossessed. Contact Us for a no cost legal review.
Protection from RepossessionThe Servicemembers Civil Relief Act (SCRA) provides special protections for active service members that have defaulted on car loan payments. To qualify, servicemembers must have signed the loan agreement, and paid at least the deposit or first installment payment, before entering military service. To repossess a vehicle, the lender must obtain a court order.
Vehicle repossessions occur for a number of reasons. Most often, a vehicle is repossessed due to missed payments or the lapse of insurance. When a car is repossessed, lenders need to follow the law, whether payments were missed or not. If the lender overlooks the law, the servicemember may bring a lawsuit against the lender.
After a vehicle has been repossessed, the lender is required to send proper notices to the borrower. Shortly after the repossession, the lender will send a letter called a Notice of Intent to Sell Property, which confirms the repossession occurred and details terms for to retrieve the vehicle. If the borrower is not able to meet the terms, the lender may choose to sell the vehicle at an auction or private sale. Once the sale has taken place, the lender will send a second letter called a Deficiency Notice, which informs the borrower of the sale price of the vehicle and any remaining balance due. If the borrower is not notified properly, there may be grounds to file a lawsuit against the lender.
If a servicemember’s vehicle has been repossessed, he or she may face loss or denial of a security clearance, or other types of punishment based on mismanagement of their finances. In addition, credit reports may list delinquencies or the repossession and lower credit scores, which make it difficult to obtain a new loan.
All consumers are entitled to receive one free credit report every twelve months directly from Transunion, Experian and Equifax. Check your credit reports , and make sure the information is accurate.
Servicemembers that have fallen behind on payments for auto loans and are facing repossession should seek the advice from a qualified consumer protection attorney to advise on their consumer rights.
Flitter Milz is a nationally recognized consumer protection law firm who knows the laws to protect borrowers from wrongful repossession and inaccurate credit reporting. Contact us for a no cost consultation.
Pictured above: Attorneys Cary Flitter (center), Andy Milz (left), Jody López-Jacobs (right).
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