Why did my car get repossessed?
Repossessions can be tricky. Typically a repossession means an agent that is hired by a bank, debt collecting agency, and/or some other financial institution comes to your house and abruptly, and legally, takes back an asset from you that you bought on credit and failed to pay back. Buying something on credit means you didn't have enough funds to purchase something outright, so you asked a bank to buy it for you upon the promise that you would pay the bank back plus interest owed at a later specified date in time. Now when you happen to purchase a car on credit, give the bank your promise of paying back the debt, and fail to pay back the money owed to your creditors, the creditors can submit a judgement to have your car repossessed. Often times the judgement is approved, and the repo man (repossessing agent) is legally able to come and take your car away to settle the debt. Most of the time the debt is settled, but you no longer have a car so you are back to where you stared before you bought the car on credit. I believe creditors can only repossess items that were bought on credit and started the debt in the first place. They have no legal right to take back any other asset, unless the credited item is lost or destroyed without insurance. Only the IRS has the power to place a lien on any piece of property you own to relieve tax debt.