MY CAR IS IMPOUNDED
March 6, 2017
There may be times in your life when you have trouble paying your bills. Missed days of work due to illness can result in lost wages meaning that you may get behind on your car payments. What happens to your automobile if you get too far behind?
Can a creditor impound my car?
If your payments are behind, the lender or creditor may have the right to repossess your car and have it impounded. In this case, you signed a contract in the beginning allowing them to do so if you didn't make your payments- but thought it would never happen. They do not have to take you to court or warn you before they repossess your car.
What are other reasons my car can be impounded?
Missing car payments isn't the only reason a car can be impounded. If you put your car in a mechanic shop for repairs and cannot pay the bill, they can have it impounded until they receive their money. If you break down on the side of the road and leave your car, the city or county can have it towed and impounded.
Not having proper insurance is another good reason your car may be towed. Insurance is a requirement to drive a vehicle in all 50 states. If you commit a crime using the vehicle, it can be impounded for evidence. You may also turn your car (instead of waiting for the repo man) in if you can't make the payments.
What are my options if my car is impounded?
If your car is impounded, there are a few options available to you. You can try to come up with the money to get the car out. Just remember that you will have to have any missed payments and late fees, towing expenses, and fees for each day it was on the lot. Any fees related to the reason for it being impounded will have to be paid, as well. This can add up to a lot of money, and it all has to be paid before the vehicle will be released.
Another option would be to get an auto title loan. These loans are quick and easy to get. You don't need good credit as they base the loan on your income. The terms of the loan make paying it off easy so that you aren't broke- but beware, make sure you can pay it off in the time period prescribed by the loan terms.
The fact that you can usually receive one of these loans in a day is in your favor because the longer it sits in an impound lot, the more you have to pay. You simply need the title in your name and a valid driver's license. In some states, you may need to have gap insurance until the loan is satisfied.
What do I do first?
First, you should look up the basic laws regarding auto title loans in your state. Look for a lender with different payment options that offers extension plans. Also ensure they are a reputable company with good online reviews and references.
If you have had your vehicle impounded or if you are the owner of a vehicle that has been impounded because of a buyer, you can receive an auto title loan quickly and easily. This will cover all expenses accrued like towing, impound fees, and city fees. You can keep using your vehicle while paying back the loan.
Having your car impounded can signal other kinds of financial difficulties. If this sounds like your situation, contact us at Georgia Debt Relief and we can help you sort through any issues you may have with money.