A creditor can repossess a car only if the contract allows it, and only if the repossession is done without a breach of the peace. Even after a legal repossession, the creditor must provide the required post-repossession notice.
Companies must abide by the fair debt collection laws when attempting to collect money or property. Violations of those laws include filing suit on a time-barred debt, and false threats of arrest or wage garnishment.
Consumers often are confronted with a lawsuit based on an old debt, or a lawsuit brought by a “debt buyer” they never heard of prior to being sued. Fortunately, there are viable options for consumers in collection matters.
Many laws protect against unfair practices and competitive harm. Enforcing those laws is not always cost-prohibitive, but rather disputes can be resolved in an efficient, pragmatic and thoughtful manner.