Repossession laws can vary from state to state. If you or your loved ones have fallen behind on your loan payments, there are things you need to know. A bankruptcy attorney in Sarasota, Florida is an expert on the subject and would be happy to help you understand your rights.

Lenders do not use repossession as a first resort. A lender has many different options to get their money back from a loan; collection calls, extending settlement offers, filing a lawsuit or garnishing wages. Secured debt is slightly different, they can repossess the property.

Repossessing property is a simple way to say that the lender is claiming ownership due to failure to pay. Any possession that you use to secure a loan can be repossessed by a lender; home, car, furniture, etc. Repossessions can be completed with almost no warning. Before you sign for a loan, it is imperative that you understand the lender’s repo rules. Section 679.609 of Florida Statutes states; “authorizes a secured creditor, upon default, to take possession of the collateral without judicial process if it proceeds without breach of peace. If a creditor uses physical force or threats of force to seize the collateral, a breach of peace may occur. If a breach of peace occurs, the creditor may lose the right to collect.”

Once a repossession has been completed it is almost impossible to get the action reversed. Although a creditor must give written notification to the former owner of the repossessed property on what the company intends to do with the repossessed property. A bankruptcy attorney at Galarza Law Firm can help you understand why your possessions are being repossessed and what rights you have as a borrower. They will also be able to mediate should lawsuits be filed.