William Lipovsky
Short Answer — TitleMax’s repossession policy is based on each state’s laws and the status of individual customers’ accounts. Some states allow repossession after as little as one missed payment. Below, we explain TitleMax’s repossession guidelines, including how TitleMax can find your car and what happens after repossession.
When Does TitleMax Repossess Your Car?
We contacted TitleMax customer service representatives to find out more about the company’s repossession policies. We were told that TitleMax’s repossession policies vary by state and individual customer account.
In some states, a lender can repossess a vehicle after just one missed payment if you don’t bring the account balance current within a certain time frame.
For example, in South Carolina, you have 20 days to make your loan current after a “Notice of Right to Cure” is sent to you following a missed payment.[1]
Each state sets its own regulations regarding repossession; you can contact your local lender for specifics or see our research detailing repossession laws by state.
Repossession involves a lender taking back an item that was rented, leased, or used as collateral for a loan. TitleMax offers auto title loans, which use your vehicle as collateral. If you miss your scheduled loan payments and don’t work out an alternate payment schedule with TitleMax, the company can repossess your car in accordance with your state’s laws, representatives told us.
TitleMax Repossession Process
Each state also has its own laws regarding the steps a repossession agent can take to find and secure a vehicle. You should receive notice before the company initiates a repossession, but in many states, TitleMax and other lenders can repossess a car anywhere, at any time.
Repossession agents may look for the car at your home and workplace using the addresses TitleMax keeps on file; they may also track your movements until they find the vehicle.
The Federal Trade Commission notes that in most states, repossession agents can legally enter your property to repossess a car (such as from the driveway or backyard), but they cannot use excessive physical force.[2]
Be aware that you will most likely lose the option to get your car back after repossession if you attempt to hide it. Additionally, in some states, it is illegal to try to hide your car from a repossession agent.
If you are concerned about repossession, contact TitleMax’s customer service department at (800) 804-5368. TitleMax will work with you to help you keep your car and pay back your loan, a customer service representative said.
What Happens After TitleMax Repossesses Your Car?
If your vehicle has been repossessed, you can call TitleMax customer service to file a formal complaint.
You may be able to get your car and title back by discussing your situation with a TitleMax representative and forming an agreement to pay off the loan balance, as well as any penalties associated with the repossession. The amount you will need to pay will vary depending on your state’s laws and the terms of your TitleMax loan.
It is best to call TitleMax as soon as possible after the repossession agent takes your vehicle since TitleMax can sell the car or send it to auction to pay your loan. If you don’t contact TitleMax and it sells the car for less than your total account balance, you will still be responsible for paying the remaining balance, plus penalties and fees.[2]
For more about your rights after repossession, see our research about what to do after your car is repossessed.
I am 5 days behind on my payment and this is my first time being late. Like everybody else, I had some unexpected things come up that i had to use my payment for. I have advised the local office that I can pay this Thursday (4-4-24) but they are telling me that they have my car scheduled for pickup. Can they legally do this without notifying me and especially since this is my first time being late. I thought i would have 20 days to get this caught up.
Hi, Nancy! The required notice and timeline of the repossession process vary depending on your state’s laws. Which state are you in? If you don’t believe the lender is following your state’s laws, it’s best to contact a local attorney or your state’s consumer protection agency for help. I hope you’re able to resolve the situation quickly and easily!
I’m in South Carolina and they told me that I have to drop the car off to them if I can’t make a payment they will not come out and get the car I have to first come in the office at my convenience and sign a “Notice of Right to Cure” form before they come out and get the car is this true?
Hi, Brandon! A Notice of Right to Cure is essentially a pre-repossession notice. It’ll show how long you have to make up the missed payment before the company repossesses the car. Only after that time passes can the lender come and pick up the vehicle. If you drop the car off to them, that would be considered a voluntary surrender, which doesn’t require a Notice of Right to Cure. Your contract should outline your rights and responsibilities for either option. I hope you’re able to resolve the situation smoothly!