There have been many cases when a car owner was informed that his car was to be repossessed and only when the tow truck took the car away that they found out that it was a scam. This would have happened to many people you might know who have defaulted their loans for a few months.
In most cases, due to the commotion and the panicky situation, car owners fail to check the relevant documents before allowing the tow truck to take their vehicle. Below are some of the things you should know when anyone comes and tell you that your car is being repossessed.
If you have paid more than 75% of your car loan, the bank cannot repossess your car. The only way they can do that is through a court order.
If you owe the bank more than 75% of the car loan and has defaulted your loan twice, then the bank CAN repossess your car.
However, take note that the bank must send you a notice 14 days BEFORE they actually come and repossess your car.
The agent who will be repossessing your car must produce the following documents before they tow your car:
• Legal permit to repossess your car
• His MyKad or I/C
• The repossession order issued by your bank or the court order
If in doubt, always check with the bank where your loan is from.
The agent can repossess the car at any time of the day. So if the bank is closed, to be safe, call the police or any authorities to verify the documents before letting anyone tow your car away.