Automobile Repossession Laws by State
Written by: Kristy Welsh
Last Updated: October 21, 2017
The information listed below provides a brief summary of individual state laws regarding secured transaction. Since an automobile loan is almost always a secured loan — meaning the financed property is the collateral — these laws are applicable to situations involving auto repossessions.
ALABAMA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral through providing full payment of the monies owed and all reasonable expenses incurred by the creditor. The disposition of the collateral may be conducted by public/private sale.
Deficiency Requirements
Collectible after public/private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
ALASKA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
Within 10 days after retaking. If customer had paid 50% of purchase price or $500.00, a public sale is required. If less than 50% or $500.00, private sale is permitted.
Deficiency Requirements
The disposition of the collateral may be conducted by public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. (Section 49.9.504(c).) A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
ARKANSAS
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
Debtor can redeem ten days after retaking or after judgment in replevin. The debtor has a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
The disposition of the collateral may be conducted by public/private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
§ 4-9-504
ARIZONA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Unless the collateral is perishable or threatens to decline speedily in value or is of a type customarily sold on a recognized market, reasonable notification of the time and place of any public sale or reasonable notification of the time after which any private sale or other intended disposition is to be made shall be sent by the secured party to the debtor, if he has not signed after default a statement renouncing or modifying his right to notification of sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
CALIFORNIA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
California's Unruh Act regulates the format and content of "retail installment contracts" and "retail installment accounts". In the event of a default by buyer, the seller (or assignee) may file suit for the amount owed, or repossess the collateral. If the collateral is repossessed, notices are required under California Civil Code Section 1812.2, and the buyer has a 10 day redemption period.
Deficiency Requirements
If election is made to repossess, no deficiency is permitted.
State Code
CA Civil Code 2983.2
COLORADO
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner. (C.R.S. 4-9-504) Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. (C.R.S. 4-9-506) The disposition of the collateral may be conducted by public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. (C.R.S. 4-9-504(3))
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency. (C.R.S.4-9-502(2)) However, in a consumer credit sale of goods or services transaction, the debtor may not be responsible for any deficiency amount if the creditor repossess the collateral or voluntarily accepts surrender of goods which were the subject of the sale and in which he has a secured interest, and the cash sale price of the goods is $2,100.00 or less. (C.R.S.5-5-103)
State Code
C.R.S. 4-9-101
CONNECTICUT
Collateral Recovery Upon Default
Peaceful repossession allowable - Police notification required immediately after repossession.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. (Section 42a-9-504) Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. (Section 42a-9-506)
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency. (Section 42a-9-502(2)
State Code
DELAWARE
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After default, a secured party may sell, lease, license, or otherwise dispose of any or all of the collateral in its present condition or following any commercially reasonable preparation or processing. Debtor can redeem within 15 days after taking by payment of total balance due plus repossession fees.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
DISTRICT OF COLUMBIA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. (D.C. 28:9-504.) Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. (D.C. 28:9-506) Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
FLORIDA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. (Section 679-506)
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
GEORGIA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, public or private sale, with reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Under Rule 120-1-14-18 of the Administrative Rules and Regulations of the State of Georgia, in a consumer transaction involving an amount of $3,000.00 or less, a creditor may not be permitted to take possession of collateral without judicial process unless such authorization is clearly, prominently, and conspicuously disclosed to the consumer immediately above the place for his signature on the loan document or as an addition to the "NOTICE TO CONSUMER" as defined in Rule 120-1-14-.08(3) of the Regulations
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
HAWAII
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
IDAHO
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
ILLINOIS
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
INDIANA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
Indiana Code 26-1-9.1 et. seq.
IOWA
Collateral Recovery Upon Default
Peaceful repossession allowable, however, in a consumer credit transaction, the Iowa Consumer Credit Code Section 537.5110 requires that no attempt to enforce the obligation may be made until 20 days after a written notice of right to cure default is given to the consumer debtor. The notice of right to cure default must be in writing, and must contain specific information as prescribed under Iowa Code Section 537.5111. A notice in substantially the form set forth in this code section will comply with this notice requirement. If a creditor fails to give this notice prior to filing an action for money judgment, its action will be dismissed without prejudice.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, in a public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency. A consumer generally may not be liable for a deficiency if the secured creditor fails to dispose of the repossessed collateral in a commercially reasonable manner.
State Code
KANSAS
Collateral Recovery Upon Default
A creditor generally has a right to possession of its collateral upon the default of payment by a consumer on a credit transaction involving a consumer loan or sale of goods or services. The collateral may be taken either voluntarily, or involuntarily without judicial process only if possession can be taken without entry into a dwelling and without the use of force or other breach of the peace.
Redemption of Collateral
In a credit transaction payable in installments, the creditor must give a written Notice of Consumer's Right to Cure. The Notice must contain specific information such as the name address, and telephone number of the creditor, a brief description of the credit transaction, the consumer's right to cure the default, the amount of payment and date by which payment must be made to cure the default, and the consumer's possible liability for reasonable costs of collection, including, but not limited to court costs, attorney fees, and collection agency fee. A sample form of this Notice is prescribed in K.S.A. 16a-5-110(2). If the consumer fails to cure the default within twenty (20) after the Notice is given, the creditor may then take appropriate action to recover the collateral or damages.
Deficiency Requirements
If the cash value of the collateral repossessed is less than $1,000, a consumer generally is not personally liable for any deficiency unless the consumer has wrongfully damaged the collateral, or the consumer has wrongfully failed to make the collateral available. If, however, the creditor elects to bring an action against the consumer, the creditor generally would not be entitled to a deficiency judgment or to levy upon or take possession of the collateral.
State Code
KENTUCKY
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
LOUISIANNA
Collateral Recovery Upon Default
The State of Louisiana has enacted its own Commercial Laws and incorporated, with modifications, Articles 1, 3, 4, 5, 7, 8 and 9, of the Uniform Commercial Code. In case of default in a secured transaction, Louisiana generally DOES NOT permit creditors to recover collateral through "self-help" repossession.
Redemption of Collateral
Not permitted after sale of collateral.
Deficiency Requirements
Not permitted unless seized through the court pursuant to a chattel mortgage foreclosure and sale. Confession notes are invalid.
State Code
MAINE
Collateral Recovery Upon Default
In a secured consumer credit transaction, a creditor generally may not accelerate maturity of the unpaid balance of the obligation or take possession of collateral after a default until 14 days after a written notice of the consumer's right to cure is given. If the consumer cured the default by tendering the amount of all unpaid sums due at the time of tender, without acceleration, plus any delinquency or deferral charges, the consumer's right under the agreement is restored. Subject to the notice requirement in a consumer credit transaction, a creditor generally is entitled to recover possession of collateral upon the default of a debtor on a secured transaction. In obtaining possession of collateral, a creditor may do so without judicial process only if possession can be taken without entry into a dwelling, unless such entry has been authorized after default, and without the use of force or other breach of peace.
Redemption of Collateral
Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor is generally liable for any deficiency. However, in a consumer credit transaction, if the original amount financed is $2,000.00 or less, the creditor may not recover a deficiency.
State Code
MARYLAND
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
MASSACHUSETTS
Collateral Recovery Upon Default
Right to cure law is in effect for all MA contracts. Vehicles cannot be repossessed from property owned or rented by the debtor.
Redemption of Collateral
After the repossession of a vehicle the debtor must be sent a notice by certified mail, return receipt requested, outlining the lienholder's redemption requirements; including the lienholder's intent to sell collateral either at public auction or by private sale, if the requirements are not fulfilled within 20 working days.
Deficiency Requirements
If less than two thousand dollars, none. At time of default, if more than two thousand dollars, deficiency allowable.
State Code
MICHIGAN
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
MINNESOTA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
MISSISSIPPI
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor generally may be liable for any deficiency.
State Code
MISSOURI
Collateral Recovery Upon Default
One time cure law in effect in MO; all others per contractual agreement
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
Section 400.9-101, et al
MONTANA
Collateral Recovery Upon Default
Peaceful repossession allowable; but retaking bars suit for price and vice-versa. Trip permits required on units leaving the county where repossession takes place.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
MCA 30-9A
NEBRASKA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor generally may be liable for any deficiency.
State Code
NEVADA
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
NEW HAMPSHIRE
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
NEW JERSEY
Collateral Recovery Upon Default
Peaceful repossession allowable; Suit for purchase price prohibits recovery and vice-versa.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
NEW MEXICO
Collateral Recovery Upon Default
If repossession discussed with debtor the secured party must give a ten day notice otherwise peaceful repossession allowable
Redemption of Collateral
Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
Only if contract permits repossession, sale and deficiency
State Code
NEW YORK
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
NORTH CAROLINA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency. Any surplus must be paid to the person to whom he is entitled if such person is know. If not, the surplus shall be paid to the clerk of the superior court of the county where the sale or other disposition was held.
State Code
NORTH DAKOTA
Collateral Recovery Upon Default
Peaceful repossession allowable.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
OHIO
Collateral Recovery Upon Default
When a debtor default on a secured obligation, the creditor generally has a right to take possession of the collateral with judicial process, or without judicial process if the taking can be done without breach of the peace.
Redemption of Collateral
A debtor may redeem the collateral by tendering full fulfillment of the secured obligation plus all expenses reasonably incurred by the creditor prior to the sale of the collateral. If the debtor fails to cure the default, the collateral may generally be disposed of in a commercially reasonable manner in a public or private sale except for collaterals involving a consumer transaction. In a retail installment contract involving a consumer transaction, the creditor must give the debtor a written notice, within five days after taking possession of the collateral, of the circumstances constituting the default and the term.s for curing the default. If the debtor fails to cure the default within 20 days after the creditor retakes possession of the collateral, or 15 days the giving of notice, whichever is later, the secured creditor may dispose of the collateral by public sale only after giving a notice of sale.
Deficiency Requirements
If a creditor fails to give these notices, it may not be permitted to recover the cost of retaking possession of the collateral and may not be entitled to a deficiency judgment.
State Code
OKLAHOMA
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. With exception to transactions involving consumer goods, notice to any holder of a subordinate lien is also required.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
OREGON
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
PENNSYLVANIA
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
RHODE ISLAND
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
SOUTH CAROLINA
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. With exception to transactions involving consumer goods, notice to any holder of a subordinate lien is also required.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
SOUTH DAKOTA
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor generally may be liable for any deficiency.
State Code
TENNESSEE
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
TEXAS
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
The State of Texas generally adopts the provisions of the Uniform Commercial Code (Title 9) in secured transactions. Bus & Comm C. 9-101 et seq.
UTAH
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency. However, under the Uniform Consumer Credit Code (Title 70C of the Utah Code), a creditor may not seek a deficiency judgment if it repossesses or voluntarily accepts the surrender or return of consumer goods in which it has a security interest of consumer goods having a value of $3,000.00 or less.
State Code
Title 70A, Chapt. 9 of Utah Code
VERMONT
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
VIRGINIA
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
WASHINGTON
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
WEST VIRGINIA
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
WISCONSIN
Collateral Recovery Upon Default
Debtor required to sign voluntary surrender of Collateral or Replevin Judgment granted through legal action for possession of collateral.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
Sec.409.501 et seq.
WYOMING
Collateral Recovery Upon Default
Peaceful repossession allowed.
Redemption of Collateral
After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner, by public or private sale. Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor.
Deficiency Requirements
A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor may be liable for any deficiency.
State Code
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