There may come a time when you run into financial trouble. It happens to almost everybody, and when it does, one of the first things to fall by the wayside is a car payment. While it may not seem like a big deal at first, continuing to ignore the bills can lead to repossession of your car. No one wants to have to be on the run from the repo man forever, so here are three tips for avoiding him so you can get back on your feet:
1. Hide the car
Until you get the money lined up to pay your loans, you should take the car off your road. Repo men are not allowed to take a vehicle if they have to break locks, cut chains or damage your property in any way, so you can lock your car up in a garage or behind a chained gate, according to Nolo Law for All.
2. Set up a repayment plan
OK, you’ve bought yourself some time by hiding your car from the repo man. But you can’t keep it locked up forever – you need to come up with a plan that will get your finances and your car back on the right track. Figure out what you can do to come up with the money needed to pay back your debts. You can even let the repo man know what you intend to do – you never know, keeping communication open may be enough to get him to cut you some slack.
3. File for bankruptcy
If all else fails, and you feel like your finances and debts are totally out of control, you can file for bankruptcy. In this day and age, options like a debt repayment plan under chapter 13 bankruptcy are viable for many. This move grants an Automatic Stay, which means the repo man will stop coming after your car. You will have to formulate some kind of repayment plan, but it’s certainly an option if you need to have your car for your daily life.
When the repo man gets the best of you and you have to invest in another car, you can feel like your options are severely limited. That is not the case, however, as New Jersey State Auto Auction has a financing department that helps people with bad credit get approved for auto loans. You’ll be able to choose from hundreds of Carfax-certified used cars, trucks and vans, all while staying within a budget.