Vehicles are undoubtedly expensive. If yours has been repossessed, then going to work, getting groceries, and completing other necessary day-to-day tasks can be difficult. Getting a new car isn’t always easy or possible. If you live in Texas and are wondering what you can do to get your car back after repossession, you’ve come to the right place. Let’s review your rights and explore what you can do to regain a sense of normalcy.

What Are Your Rights?

For a creditor to repossess your vehicle, whether through hiring a repossession company or court order, they must have a valid lien on the vehicle. Upon buying the vehicle, you must have pledged the car as collateral for the loan, and the borrower usually does so to receive the loan. This pledge allows a creditor to repossess the vehicle if you do not make timely payments.

However, a repossession agent cannot take your vehicle through any means, and it must be done without a “breach of peace.” They cannot use force, enter a secured area, damage the vehicle, make a public disturbance, or repossess the car following an oral objection before the vehicle is hooked up. This is why repossession companies may take a car in the middle of the night or while the owner is at work.

Loan Refinancing

Under Texas law, a lender cannot sell your vehicle for 10 days, but you might lack the means to pay the loan in full within this time. Despite this, you can get your car back after repossession.

Your first option is to speak with your lender or a different lender entirely and ask if refinancing is on the table. Unfortunately, this can be difficult to achieve once your credit is damaged. If you experienced financial troubles before, this may not be the best long-term option.

Loan Reinstatement

You can try to reinstate the loan by paying off any past-due bills or late fees and catching up on your payments. Depending on the lender, they may ask you to repay any costs incurred during repossession. Note that Texas law does not require lenders to provide you with this option. Unless it is strictly stated in your contract, the lender may not allow you to reinstate your loan.

Filing for Bankruptcy

Chapter 13 bankruptcy allows you to retain the property you’re making payments on. If your vehicle is under threat of repossession, filing for bankruptcy can help you get it back. A Chapter 13 bankruptcy attorney can also help you prevent your car from being taken in the first place if you file early enough. Keep in mind that once your lender sells your vehicle, you cannot get it back. In these cases, it is best to act swiftly and decisively.

Bankruptcy does not mean failure! At Northern Legal, our dedicated and knowledgeable bankruptcy attorneys are here to help you obtain debt relief and secure yourself financially.