ABA Family Legal Guide

Automobiles

Buying, Renting, and Leasing a Car

Buying a New Car

What else can the creditor do with the repossessed car?

The creditor may keep the car to satisfy the debt fully. The law refers to this as strict foreclosure. There is no duty to return excess money in a strict foreclosure. Creditors seldom use it, because dealers want to sell, not keep, cars.