• Once you default on a loan, creditors can repossess in Florida.yellow car, a honda japanese sport car model image by alma_sacra from Fotolia.com
  
  Under Florida law, cars, trucks and other automobiles may be repossessed by creditors as soon as a debtor defaults on a loan for the vehicle. However, debtors have the right to redeem the vehicle before auction and request a sale of the car to help cover the balance owed.
  
  

Seizing the Vehicle

• Creditors can seize vehicles for loan defaults at any time of the day and without prior notice or warning to the debtor. However, the repossession cannot breach the peace in the process, meaning creditors cannot use physical force or threats when retrieving the vehicle. Florida law also gives creditors the authority to come onto a debtor's private property in order to retrieve the vehicle. Creditors are also permitted to charge penalties and fees against the debtor to cover the cost of repossession. Debtors can avoid and alleviate some of these fees by returning the vehicle directly to the creditor.
  
  

Default & Delinquency Requirements

• What constitutes a default or delinquency varies with each sales contract. Some creditors define default as a debtor missing a single payment while others set a minimum overdue balance. For example, a creditor might not consider a loan in default until the debtor has missed enough payments that the past due balance exceeds $500 collectively. Check your sales contract for more details.
  
  

Redemption & Remedies

• A debtor has 10 days to redeem a vehicle by paying the outstanding balance in full plus fees or costs associated with the repossession. Some creditors, but not all, will also allow the debtor to redeem the car by paying the back loan payments owed plus the creditor's costs. If a debtor cannot or chooses not to redeem the car, the creditor may keep the car to satisfy all or part of the debt, or sell the car at auction. In Florida, debtors have the right to request the car be sold publicly or privately, a common remedy when the car is worth more than the amount owed on the loan.