Repossession occurs when you become delinquent in your payments on your car loan and the bank lender hires a vehicle recovery service to come pick up the car whenever they legally can. Exactly when and how your car can be repossessed varies by state.
A defaulted auto loan will be reported to the consumer credit bureaus, where it will live on your credit reports for up to seven years.
That negative mark from a repossession can weigh down your credit score by dozens of points, which can mean difficulty obtaining new credit. If the lender fails to show that you were responsible for the loan and that you truly defaulted on the loan, the credit bureau will remove the account from your credit reports. If the lender can show that the default is fairly and accurately reported, however, then the credit bureau is under no obligation to remove the account.
Schedule your no obligation consultation with Credit Repair Kings today to discuss the removal of charge offs from your credit report.