Prior to Repossession

• No one can walk up to your car and take it away. There are tasks to be completed before the repossession can take place. First, the repossession company agent must go to the local sheriff's office in the area where the property is located. The agent must bring proof of identification of their repo company, a detailed description of the property being repossessed as well as the name and believed location of the property and its owner (this may be two different locations). This information must be provided either before or up to two hours after the repo takes place. Most importantly, the title to the property being taken must include that lien holder by name on that document as "lien holder." Failure to comply with any of these rules constitutes a criminal act.
  
  

Gaining Access

• Indiana State law requires that the repossessor take the property peacefully. If this cannot be done, then the lien holder must go through the courts for a remedy. In addition, if the property owner is renting a property, the landlord of that property cannot grant entrance to the repossessor for the purpose of taking back the property. Indiana law holds that the company retaking the property cannot "breach the peace" or make any kind of forcible entry.
  
  

Surrendering the Property

• A voluntary repossession or surrender is possible' this happens when the property owner informs that lien holder that he can no longer afford to pay for the property. The repossessor still must go the local sheriff's department before obtaining the property. However, this repossession is civil because the property is simply surrendered by the owner and taken away by the repossessor.
  
  

After Repossession: Regaining the Property

• The original owner, now previous owner, does have the option of regaining the property after repossession. This involves either payment of the balance owed, the past due amounts or some negotiated combination of the two. The section in the original contract under "default" should tell you what your options are. Also, other charges may apply, such as storage fees and the expenses incurred to repossess and return the property (a car, for example). There may also be processing fees.
  
  

The Resale

• If you do not act to regain the property, the lien holder may auction or resell it to recoup some of the money lost in the defaulted contract. The previous owner is then responsible for the difference between the balance owed and the amount of money received in the resale. Other administrative, processing and legal fees may also apply.