Repossession is the term used to describe when
- is when the actual owner of the merchandise you rent, rent or borrow retrieves the item back, either with or without compensation, or
- when the lienholder owns the goods of the registered owner used as collateral for the loan.
The repossession, known colloquially as a "repo" for the short term, is a type of "self-help" action in which the party owning the property rights retrieves the property of the party who owns the right of ownership without requesting a trial. The property can then be sold by a financial institution or a third party seller. The extent to which repossession is authorized, and how it can be implemented, varies greatly in different jurisdictions (see below).
When a lender can not find the collateral, it can not peacefully obtain it through self-ownership, or the jurisdiction does not permit retrieval, an alternative legal remedy to order the borrower to return the item (before the judgment) is replevin .
The security interests of collateral are often known as lien . The lender/lender is known as lienholder .
Video Repossession
Retrieval in different jurisdictions
General
The existence and handling of ownership varies greatly between jurisdictions. In some jurisdictions, self-help is limited to special circumstances, so in general, property rights can only be upheld by the court and/or other authorized agents.
United States
When legal provisions require that when a repossession takes place, the lien holders have an non-delegated obligation does not cause Peace Offenses (which is identical to disturbing peace) in reinstating or withdrawing ownership will be canceled , and the party ordering the ownership will be liable for damages (or the lienholder will be liable). This requirement is not to violate the peace including even if the violation is caused by the debtor who refuses to repossession or rejects the repossession. In MBank El Paso v. Sanchez (1992), 836 SW2d 151, where the repossession agent withdrew the car even after the tenant locked himself in it, the court ruled that this was a violation of the law of peace and declared invalid repossession. The debtor is also given $ 1,200,000 for damages from the bank involved. Re-ownership also generally does not apply to real property. Real property is generally subject to a cause of action known as foreclosure.
Reorganization procedure (United States)
In the United States, repossession is carried out in accordance with state law allowing creditors with the security interest of goods to retrieve such items if the debtor fails to fulfill the contract that creates a security interest. Specifically, all 50 US and District of Columbia states have been enacted (with slight variation) of Article 9 of the Uniform Commercial Code, which generally allows the security interest holder to take the goods if the debtor fails to repay and the repossession can be made without a breach of peace. Being "in default" means the debtor has failed to fulfill its obligations under the contract. The most common standard forms that result in repossession fail to make the necessary payments and fail to maintain adequate insurance coverage.
Many US states have enacted additional laws that apply exclusively to the repossession of purchased and leased cars, and which are intended to provide additional consumer protection. General requirements include mandating that auto lenders give consumers the opportunity to "return" or "redeem" their purchases or lease contracts after their vehicles are taken over. "Reactivation" requires consumers to pay all amounts already due plus the repossession cost of the creditor, and then buy back the car as if repossession did not happen. "Redemption" requires consumers to pay the entire balance of the contract and then be given free vehicle ownership and free of contractual obligations.
Many consumers mistakenly believe that they are legally entitled to a "grace period" that prevents the creditor from taking back the goods until his payment is a number of days past due. In reality, however, the grace period is a non-mandatory business practice that has been adopted by most consumer lenders through the terms of the lending contract. No one legally prevents the creditor with the security interest from retrieving the goods if payment is delayed (even if it is only one day late), unless the lender has agreed otherwise as a binding contract term. The only exception to this rule is if the lender does or says something to lead the debtor believing that the goods will not be taken over even though the payment is late. (ie making an "oral contract", or verbally modifying the terms of the written contract.) If the creditor notifies the debtor that a payment may be made a certain number of days late, and then retrieves the goods before that date, the creditor is guilty of conversion (ie < i>, civil theft). That being said, unless the consumer receives a license to make late payments in writing, it may be difficult for him to prove that the creditor agrees to allow late payments. Due to the difficulty of proving an oral statement, some unscrupulous creditors try to lull the debtor into a false security sense with tactics that are sometimes called "gab and grab". The creditor verbally agrees to grant additional time to the debtor to make the payment - this is "gab". But creditors only do this to facilitate repossession - "take". The creditor ignores the verbal agreement to extend the payout period and reorganize immediately. This tactic has been considered unlawful by many courts. However, in countries that have "one party" approval laws governing the recording of phone calls and private conversations, the consumer may record such conversations with the creditor, and subsequently acknowledge the recording of the creditor as evidence of a fact. oral contract.
If the lender finds himself in a situation of needing to take back the property while the borrower is trying to avoid this, the dealer may contract the work of repossession to the repossession agent. Many things can be taken over, but most of the repossession agencies focus on car ownership.
Repo agents usually use a tow truck or pickup truck with a special pulling device called a boom, but sometimes they pick up a key or get a key from the car owner.
Typically, vehicle owners should be notified of repossession. The ownership agency will find the car and check its information like a serial number to make sure they have the right vehicle. If there is a match, they will try to connect the car to the tow truck and pull it away or pick up the key and push it away. However, it does not exempt the terms of the ownership agent to be protected by an active insurance policy for vehicles under applicable criminal traffic laws. Accordingly, agents who choose to do so may be subject to arrest for violation of criminal traffic laws applicable to insurance requirements.
Repossession does not always satisfy the loan. If the repository owner sells the appropriate amount of assets, and if the amount is less than the loan amount, and if the mortgage holder sues the debtor for the balance (plus reasonable fees if applicable) in a timely manner, the debtor may be responsible for paying the balance (sometimes sometimes called "deficiencies"). However, the lender will be liable for the negligence of the contribution if the property auction creditor for less than the applicable blue book value. This is because such failures directly contribute to the remaining deficiencies.
Whether a debtor is actually responsible for a balance depends on the jurisdiction and on the details of the loan contract. In the case of nonrecourse debt, for example, the debtor is not personally liable for the deficiency.
United Kingdom
England and Wales
These numbers and texts relate to the repossession of mortgage homes in the UK.
- Number of repossessions in the UK
Source: Mortgage Lender Board and Ministry of Justice.
In 2010, there appears to be a downward trend, as lenders confiscated 9,400 properties in April, May and June, 400 fewer than in the first quarter of 2010, according to the Council of Mortgage Lenders (CML).
German
Repossession in the form of self-help is generally illegal, and self-repossession is a theft. In most cases, if the debtor is unable or unwilling to pay the debt, the creditor must first obtain a court order authorizing repossession ( Vollstreckungsbescheid , only possible if the debtor does not collect the debt) or a regular court decision. The debt should then be collected by the court ( Gerichtsvollzieher ); only these court officers can use force (such as forcing open doors, or requesting help from police forces) to collect debts. In particular, neither creditor nor private debt collection agency can use force or seize property against the debtor's wish.
Some very specific forms of self-ownership are legal. For example, a landlord may confiscate a tenant property in a rented object if there are unpaid payments.
Maps Repossession
See also
- Replevin
- Detinue
- Lien
- Foreclosure
- Distraint
References
External links
- The British Citizen's Advice Bureau
- US FTC Facts for Consumers on Vehicle Ownership
- New Zealand Consumer Help in handling Takeovers
- Statistics & amp; CML Forecast
- Ministry of Justice
- UK Rescue Household Rescue Center Center
- Michigan Tax Collateral Real Property Auction Results
Source of the article : Wikipedia
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