Vehicle Repossession Laws by State: Know Your Rights & Rules

Did you know that each state has rules and regulations covering the vehicle repossession process? While some states provide leeway by granting the borrower a short period to make up missed payments, others mandate that the loan or lease contract be the primary reference for vehicle repossession. We’ll detail vehicle repossession laws by state for clarification.

State-by-State Repossession Laws

Should you refer to loan or lease documents for rules on repossession, or are there specific rules in your state?

Alabama (AL)

7-9A-609-617 stipulates that you should refer to your loan agreement regarding the date when your vehicle can be repossessed. You’ll need to determine if there are grace periods allowed or if you grant the creditor permission to take back the vehicle once you miss the required payment date.

There’s no need for a court order granting access to obtain your car. A vehicle can be disabled or repossessed as long as there’s no breach of the peace.

Alaska (AK)

Sec. 45.01 says a vehicle can be repossessed after you miss one payment. You must refer to your loan or lease current contract if there’s a grace period to make up for missed payment.

A court order isn’t needed for the repossession process to commence. After you’ve defaulted on your loan, you grant the creditor permission to take back the motor vehicle.

Arizona (AZ)

ARS Title 47 says that your auto loan can be accelerated after one missed payment. Having your auto loan accelerated means you’ll owe the entire remaining balance or very soon. If this happens, it would be best to contact your lender and negotiate a feasible payment plan. If you can’t fix the situation, the lender will commence repossessing the motor vehicle.

The creditor may repossess or disable the motor vehicle on your property as long as the peace isn’t breached. They may also pursue legal documents that would grant them permission to enter your property.

Arkansas (AR)

A.C.A. § 4-9-609 states that repossession can start once you default on your loan or lease contract. This may happen after missing a single payment. Your contract should specify when you’re considered defaulting.

The lender can disable or repossess the motor vehicle on your property as long as the peace isn’t breached. They may choose to get a court order if the peace is breached.

California (CA)

California Commercial Code 9609 states that vehicles can be repossessed after one missed payment. Your contract should specify if you’re allowed a grace period for a missed payment.

In California, lenders are permitted to enter a fenced or locked area to get to the car on the lease. They can obtain a court order if they can’t access a closed or locked garage.

Colorado (CO)

C.R.S. 4-9-101 says that the creditor may notify you that you’ve defaulted on a loan 10 days after you miss a payment. If you don’t make up for the missed payment 20 days after receiving the notice, the lender is permitted to accelerate your loan. The car can then be repossessed as long as no peace is breached.

Connecticut (CT)

42a-9-501, et seq says repossession can start once you miss a payment. However, the lender must furnish a notice of intent to take the motor vehicle at least ten days before the scheduled date of repossession. The car can then be repossessed as long as no peace is breached.

Delaware (DE)

DE Code Title 6 states repossession can start once you miss a single payment. Your contract should contain specific details if there’s a grace period allowed. The car can then be repossessed as long as there’s no peace breached.

District of Columbia (DC) 

Technically, DC isn’t a state, but it has its own regulations on repossession. D.C. 28:9-502(2) states that a creditor must provide written notice at least 10 days before repossession. A court order isn’t required for the vehicle to be repossessed.

Florida (FL)

Section 679.501 says that repossession can happen once you miss the payment schedule, which may mean single or multiple payments. There’s no need for legal documents or a court order to push through with the repossession.

Georgia (GA)

Section 11-9-503 et seq says repossession can start once you miss a single payment. You should refer to your loan agreement for the specifics. There’s no need for legal documents or a court order to push through with the repossession.

Hawaii (HI)

HRS 49:9-101 et seq. says that repossession depends on the individual contract. You should check the loan agreement carefully to determine if you’re given a grace period. There’s no need for legal documents or a court order to push through with the repossession.

Idaho (ID)

Section 28-9-501, et seq. says that a notice will be sent to you 10 days after you miss payment. If you don’t make payment and associated fees within that period, your motor vehicle can be repossessed. As long as the peace isn’t breached, the lender can disable the vehicle or have it repossessed in your property. They can also obtain a court order to take the vehicle if necessary.

Illinois (IL)

810 ILCS 5/1-101, et seq., states that a titleholder may repossess your vehicle once you miss payment or default on your loan. Your creditor may repossess or disable the motor vehicle in an open area or on public property. They can also break into the vehicle to repossess it, but they can’t break into your garage to do so. They can get a court order if there needs to be a breach of the peace to repossess the vehicle.

Indiana (IN)

Indiana Code 26-1-9.1 et. seq. stipulates that the titleholder can start repossession once you default on a loan. This can mean that you’ve missed a payment or you’ve failed to meet other loan requirements, like insurance. Your loan agreement should specify the requirements you must satisfy to avoid having your motor vehicle repossessed.

The vehicle can be disabled or repossessed on your property as long as the peace isn’t breached. The one assigned to repossessing the vehicle must also advise the local sheriff’s office at least two hours before they pursue repossessing the motor vehicle.

Iowa (IA)

537.5110 says you must be at least 10 days late or violate your loan agreement terms for the motor vehicle to be repossessed. The lessor will then provide you a ‘right to cure’ notice, giving you 20 days to make up for missed payments and remedy your contract violations.

There’s no need for a notice every time you miss payment, but it should be provided within the last 365 days or a year. If you missed payment at least twice a year, the lessor won’t have to furnish you a notice before the repossession process can start.

The vehicle can be disabled or repossessed on your property as long as the peace isn’t breached. The creditor can also pursue legal action to repossess the vehicle.

Kansas (KS)

K.S.A. 16a says you must be furnished with a ‘right to cure’ document if you’ve missed payment for at least 10 days. This notice will state how long you have to make up for missed payments before the vehicle can be repossessed.

There’s no need for a legal notice or court order for the vehicle to be repossessed on your property. However, the creditor can obtain legal documentation if they want to.

Kentucky (KY)

K.R.S. Chapter 355 says the contract should specify when a vehicle can be repossessed. It should specify the times you can miss payment before the motor vehicle can be taken back.

There’s no need for a legal notice or court order for the vehicle to be repossessed on your property. However, the creditor can obtain legal documentation if they want to.

Louisiana (LA)

R.S. 10:9-501 et. seq. says that you should be sent a notice of the right to repossess your vehicle. Your contract should specify when you’re given to make a late payment.

There’s no need for a legal notice or court order for the vehicle to be repossessed on your property. However, the creditor can obtain legal documentation if they want to.

Maine (ME)

Maine UCC Code 9-614 says that once a year, you can be served a ‘right to cure’ document if you’re 10 days late for payment. There’s no need to send the same notice if you’ve missed payment at least twice within a year.

As long as there’s no breach of the peace, the creditor may disable or repossess the vehicle on your property. They can request for legal documents granting them to enter your property to repossess the motor vehicle if necessary.

Maryland (MD)

Comm. L. 9-101, et seq. stipulates that a titleholder must provide a discretionary notice at least 10 days before the vehicle can be repossessed. Repossession can commence as soon as you miss one payment, but it ultimately depends on your loan agreement.

As long as there’s no breach of the peace, the creditor may obtain the vehicle on your property. If you don’t cooperate, the creditor may obtain a court order to enter your property and take the motor vehicle.

The creditor may be required to furnish you with a notice via registered mail five days after getting repossessed and/or keep the vehicle for 15 days after it’s repossessed. This allows you to bring your loan current and reinstate the loan agreement.

Massachusetts (MA)

Chapt 106, s. 9-101 et seq says that a creditor must send you a notice 10 days after a missed payment saying you’ve defaulted. You will then have 21 days to make up for missed payments. This notice should indicate how much you owe and until when you’re given to make up for it.

If you’ve received at least three of these notices, the creditor won’t have to send them anymore. Repossession can then commence after another payment is missed. As long as the peace isn’t breached, the creditor may repossess the vehicle on public or private property.

Michigan (MI)

MSA 19.9101, et seq., states that repossession depends on your contract. You should refer to your loan agreement to determine what counts as defaulting on a loan.

Michigan doesn’t require creditors to provide you a notice on repossession. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

Minnesota (MN)

MN Code Sec. 336.9 says you can be repossessed a day after you miss the grace period. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

Mississippi (MS)

MS Code Sec. 75-9 says you can be repossessed once you default on your contract. Your contract should indicate what constitutes a default.

As long as the peace isn’t breached, the creditor may repossess the vehicle on your property. They may also obtain a court order to enter your property to repossess the vehicle.

Missouri (MO)

Section 400.9-101, et al. says that you should be furnished with a right to cure if you’re 10 days late on a missing payment. You should be provided 20 days to proceed with repossession.

As long as there’s no breach of the peace, the creditor may repossess the vehicle on your property. They can get a court order granting permission if needed.

Montana (MT)

MCA 30-9A says that it can occur once you miss a payment. You must refer to your contract to determine what it means to default on the loan.

If you don’t live in a reservation, the motor vehicle can be repossessed without a court order as long as there’s no breach of the peace. If you live on a reservation, the creditor may secure a court order to conduct the repossession on the reservation.

Nebraska (NE)

NE UCC Code 9-609 says that the creditor must wait 20 days after it sends the right to cure for repossession to start. You should be given a chance to make up for the missed payment. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

Nevada (NV)

NRS Chapter 104 says that you must be at least 30 days late on payment to be repossessed. As long as there’s no breach of the peace, the creditor may repossess the vehicle on your private property.

New Hampshire (NH)

382-A:9-101, et seq says that you must be at least 10 days late on payment, depending on your contract. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

New Jersey (NJ)

Sec. 12A:9-501 et seq says it starts once you default on a loan. Your loan agreement should indicate if you’re provided a grace period to cure missed payments. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

New Mexico (NM)

Article 9: 55-9-101 et, al. says repossession can start as soon as you default on your loan. Your contract should specify if there’s a grace period and when you’re considered in default. As long as there’s no breach of the peace, the creditor may repossess the vehicle on your property.

New York (NY)

Article 9 of UCC Laws says that it depends on your contract. Your contract should specify if there’s a grace period and when you’re considered in default. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

North Carolina (NC)

25-9-101, et seq. says it depends on your contract. Grace periods vary on what’s stipulated in the loan agreement. A court order isn’t required in North Carolina for the repossession to take place. The creditor is granted permission to disable or repossess the motor vehicle on your property.

North Dakota (ND)

41-09-47, et seq., states that repossession can happen as soon as you miss one payment. You should refer to your loan agreement if there’s a grace period. As long as there’s no breach of the peace, the creditor may repossess the vehicle on your property.

Ohio (OH)

Ohio UCC Code, Chapter 1309 says it can happen once you miss a payment. Your contract should specify what counts as defaulting. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

Oklahoma (OK)

12A-9-101, et seq. says it can happen once you default on payment. Your contract should indicate if you’re provided a grace period. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

Oregon (OR)

O.R.S. 79 et seq. states it can happen once you default on your contract. Your loan contract should specify if you’re granted a grace period and what counts as defaulting on the loan. As long as the peace isn’t breached, the creditor may repossess the vehicle on your property.

Pennsylvania (PA)

13 Pa.C.S. 9101, et seq states it depends on your contract. The loan agreement should indicate how long you’re given before the motor vehicle can be repossessed. As long as there’s no breach of the peace, the creditor may repossess the vehicle on your property.

Rhode Island

6A-9-101, et seq. stipulate that you must be notified if you’re 10 days late in making payment. The notice should specify how much you have to pay to bring your account current and when it’s due. The creditor may commence repossession if you don’t pay within this window.

You’re only given a notice every 12 months if needed. The creditor isn’t required to send another notice if you missed another payment within a year. As long as the peace isn’t breached, the repossession can take place on your property.

South Carolina (SC)

36-9-101, et seq. Says that your Notice of Right to Cure will give you 20 days to settle the payment. If you don’t make payment within this period, the motor vehicle can be repossessed. As long as the peace isn’t breached, the repossession can take place on your property.

South Dakota (SD)

SD SD Code Section 57A-9-609 and SD Code Section 57A-9-614 say it depends on your contract. Your loan agreement should indicate if you’re to be provided a notice before getting repossessed. As long as the peace isn’t breached, the repossession can take place on your property.

Tennessee (TN)

47-9-101 et seq. says that it depends on your contract. This document should specify if you’re granted a grace period. As long as the peace isn’t breached, the repossession can take place on your property.

Texas (TX)

Texas adopted the Uniform Commercial Code (Title 9), which says it depends on the contract. It can happen as soon as you default on payments. As long as the peace isn’t breached, the repossession can take place on your property.

Utah (UT)

Title 70A, Chapt. 9 of Utah Code says repossession can happen once you miss payment. There’s no need for a court order for the repossession process to start if there’s no peace breached.

Vermont (VT)

U.C.C. 9A-9-101 says it depends on your contract. It can take place as soon as you missed payment. There’s no need for a court order for the repossession process to start if there’s no peace breached.

Virginia (VA)

VA Code 8.9A says that the creditor doesn’t have to send you a notice, but it can happen 10 days after you miss a payment. There’s no need for a court order for the repossession process to start if there’s no peace breached.

Washington (WA)

Chapter 62A.9A RCW says that it depends on your contract. Your loan agreement should specify if you’re granted a grace period and when your payments are considered late. The creditor doesn’t have to notify you if your car is being repossessed. There’s no need for a court order for the repossession process to start if there’s no peace breached.

West Virginia (WV)

Section 46-9-609 and Section 46A-2-106 state that the creditor may send you a notice once you’re five days late making payment. Otherwise, the repossession process can start. There’s no need for a court order for the repossession process to start if there’s no peace breached.

Wisconsin (WI)

Sec.409.501 et seq. says that it depends on your contract, but oftentimes, this is when you’re ten days late. The creditor is required to send you a ‘right to cure’ notice and wait at least 15 days before the process can start. There’s no need for a court order for the repossession process to start if there’s no peace breached.

Wyoming (WY)

WS 34.1-9-101 et seq. states that it can happen once you default on your loan. The creditor doesn’t need to notify you if they’re taking the motor vehicle. There’s no need for a court order for the repossession process to start if there’s no peace breached.

Special Considerations for Military Service Members

The Servicemembers Civil Relief (SCRA) stipulates that creditors can’t repossess vehicles from active duty service members if they’re on active duty. Service members must be taken to court before getting repossessed, and they can stay court proceedings for at least 90 days. Motor vehicle repossession can only take place if there’s a court order.

Conclusion

Repossession regulations depend on the state, and it’s vital that you familiarize yourself with the rules. You may be given a bit of leeway to make up for missed payments. If you’re an active duty service member, you should activate SCRA protections. SCRACVS can help you with the proof you need. Click here to sign up at SCRAVS and verify the active duty status.

FAQs

What does a breach of the peace mean?

This indicates that there was a public disturbance or disorderly conduct when the motor vehicle was being repossessed. In this scenario, it means physical force or threats were used to repossess the vehicle.

How many months can you miss a car payment before repossession?

It depends on the state. In most states, repossession can occur after missing a payment for as little as ten days to one month.

Can your car be repossessed out of state?

Yes, state lines don’t matter if your motor vehicle is being repossessed. Every time your vehicle is in public property, there’s a chance you might get repossessed.

What happens if the repo never finds your car?

It ultimately depends on the creditor. The repo company usually exhausts various means to locate a motor vehicle. The creditor can call them off, if needed.

Can I get my car back the same day it was repossessed?

Yes, you can get the motor vehicle back once the creditor accepts your payment. You should be given clearance before you can pick up the vehicle.

Which states defer to your lease or loan agreement regarding repossession?

Wisconsin, Washington, Vermont, Texas, Tennessee, South Dakota, Pennsylvania, North Carolina, New York, Michigan, Kentucky, Hawaii, and Alabama defer to one’s loan contract regarding repossession rules. Other states have different rules with which residents should familiarize themselves.

Should the lease or loan contract specify when a vehicle can be repossessed?

 Ideally, it should indicate when the motor vehicle can repossessed. However, some states have specific rules that permit creditors to start the repossession process.