Car repossession is a stressful experience, but understanding your rights can help you navigate the process. The Wisconsin Consumer Act (WCA) provides certain protections for consumers in car loan agreements. Here are some potential loopholes related to car repossession in Wisconsin:
1. "Breach of Peace"
Wisconsin law prohibits repossession companies from breaching the peace while taking your vehicle. This includes:
- Physical force or threats: Repossessors cannot use violence or intimidation to take your car.
- Verbal protest: If you verbally object to the repossession, the company must stop.
- Breaking and entering: Repossessors cannot enter your locked garage or fenced yard without a court order.
If a repossession company breaches the peace, the repossession may be considered unlawful.
2. Notice Requirements
The WCA mandates specific notices that lenders must provide before and after repossessing your vehicle:
- Notice of Default: Lenders must send you a notice of default, giving you at least 15 days to cure the default (missed payment).
- Pre-repossession Notice: This notice informs you of the lender's intent to repossess the vehicle.
- Post-repossession Notice: After repossession, the lender must send a notice explaining your right to redeem the vehicle and how it will be sold.
Failure to provide these notices or including incorrect information may create a loophole in the repossession process.
3. Redemption Rights
The WCA grants you the right to redeem your vehicle after repossession. This means you can get your car back by paying the full amount owed, including repossession expenses. The lender must provide you with a reasonable opportunity to redeem the vehicle.
4. Wisconsin Consumer Act (WCA) Applicability
The WCA applies to loans of $25,000 or less. If your car loan exceeds this amount, the WCA may not apply, potentially limiting your protections.
Additional Tips:
- Keep detailed records: Maintain copies of all loan documents, notices, and communication with the lender.
- Seek legal advice: If you believe your car was wrongfully repossessed, consult an attorney immediately.
By understanding these potential loopholes and acting proactively, you can protect your rights during the car repossession process in Wisconsin.
Attorney Nathan DeLadurantey offers free consultations to explain your legal rights in Wisconsin. Free consultations can be scheduled online.