Legal Question in Civil Litigation in Massachusetts

You must be given notice of intent to repossess

In general, your loan is in default when you are no longer in compliance with the terms of the agreement that you signed. Usually this is because you did not make the payments, but it could be because you failed to keep the car insured, as is often required in your loan agreement.

In Massachusetts, your car may not be "wrestled" away from you. If you confront the repo man, he is supposed to back away. Don't press this one, your health and safety are more important than metal and glass. If the car is improperly repossessed, the holder of your agreement loses remedies against you.

By law, you must be given an opportunity to "cure" the default, before they take the car. If you have been avoiding that certified letter, and you won't open that envelope from the company -- these will NOT protect you. The company has notified you when you get the letter, even if you don't open it or read it.

You should contact an attorney. An attorney can help you negotiate a settlement with the holder of the loan, which may allow you to keep the vehicle. You may need to consider filing bankruptcy, and there are steps you can take to protect other valuable assets that your creditor may go after. If your car is repossessed, the creditor will likely auction the car, and then go after you for any deficiency, the difference between what is owed and what the auction brings. To add insult to injury, you have to pay for the repossession, storage fees, and the fee to auction your own car.

I settled a case this week where a car was improperly repossessed, and my client got a $5,000 settlement from the bank.

This is not legal advice. To obtain legal advice, you must meet with an attorney and enter into an attorney-client relationship. This is provided to you to help you structure your questions when you discuss your situation with an attorney.

Auto repossession

A loan is in default when payment is not made by the date payment is due. InMassachusetts a notice must be sent of intent to repossess a vehicle. However, thenotice does not have to be received. If a notice is sent by registered mail and you donot accept it or get it, the letter will still be considered to be sent.