Quick Answer: How can I get my car back after repossession in Texas?
If your car is repossessed in Texas, redeem it within 10 days by paying all past-due installments, repossession, and storage fees under Texas Business & Commerce Code §9.609.
- Demand proof of each repossession and storage fee within 10 days.
- Pay all missed installments and fees by day 10 under Tex. Bus. & Com. Code §9.609.
- File Chapter 13 by day 10 to invoke an automatic stay and halt the sale.
Vehicle repossession laws in Texas let a lender seize your motor vehicle the moment you default—no court order needed—so long as the repo agent does not “breach the peace.” Under § 9.609 you get only 10 days after the tow to pay, redeem, or file Chapter 13 to force the car back.
Introduction
Behind on car payments and worried the repo truck is circling your block? You are not alone. We have spent over 20 years guiding North Texas families through the repossession process, putting personal responsibility first while protecting essential transportation. Call (888) 584‑9614 for a free consultation with our Richardson‑based bankruptcy team serving Dallas, Collin, Denton, Rockwall, and Tarrant counties.
How Texas Vehicle Repossession Works
Texas follows a self‑help model. That means a lienholder may grab a past‑due motor vehicle without first asking a judge—as long as the pickup stays peaceful and property remains unharmed. Texas repossession laws apply to loans secured by vehicles. When a lienholder repossesses a vehicle, it is typically because the borrower has defaulted on their loan payments. The governing rule is Texas Business & Commerce Code § 9.609.
Repossession agents are hired by creditors to recover vehicles when loans are in default.
Lender duties:
- Avoid any breach of the peace (no threats or violence).
- Protect surrounding property from damage.
- Inventory and return personal property found in the car.
- Creditors and repossession agents must follow Texas law when conducting repossessions.
Self‑Help vs. Court Order: What Lenders May (and May Not) Do
Repo agents can lawfully tow from public streets, open driveways, or employee lots. Entering a closed garage is illegal. Any physical confrontation between the borrower and the repo agent is strictly prohibited under Texas state law. Locked gates, chained yards, and fenced ranch land require either your permission or a court‑issued writ.
Defining a “Breach of the Peace” in Texas
A breach occurs when the repo man uses force, threats, or risky conduct, including any use of physical force—such as towing with someone still inside the vehicle. Texas appellate courts, including Ford Motor Credit v. Blocker, stress that even loud arguments can cross the line, giving borrowers leverage to sue for damages.
When Does Default Trigger Repossession?
Your loan agreement likely states that one missed installment places the account in default. In practice, most lenders wait 30 days before initiating car repossession. Late payments can lead to car repossession if not addressed within the grace periods specified in your loan agreement. If you are having trouble making payments, you should communicate with your lender as soon as possible to explore potential solutions.
Car Repossession Timeline: What Happens as Days Late Increase
Some borrowers may choose to surrender their car voluntarily to avoid additional costs and negative consequences associated with repossession.
Before any auction the lienholder must mail written notice describing date, time, location, and that the sale will be “commercially reasonable.”
Missed‑Payment Scenarios Texans Ask About
- One late payment: Legal repossession could start, but most lenders wait 30–60 days.
- Balloon payment: Skipping the big payoff counts as immediate default.
- Insurance lapse: A canceled policy lets the lender treat the account as past‑due even when monthly payments are current.
Borrower Rights After the Tow Truck Leaves
Texas law grants a 10‑day redemption window. During that time you may: Lenders might allow for payment deferrals during financial hardship to avoid repossession, so it is worth discussing this option with your lender.
- Redeem by paying all arrears plus all costs related to repossession, including storage, preparation, and administrative fees.
- Reinstate if your loan allows partial catch‑up.
- Choose voluntary repossession to reduce storage charges.
- File Chapter 13 bankruptcy to force the vehicle back and stretch past‑due sums over 36–60 months.
The lender may choose to sell the repossessed vehicle through a private sale instead of a public auction, and you should be notified if this method is used. The cost of repossession and sale, including all costs related to the process, will reduce the amount applied to the remaining balance on your loan. If the vehicle is sold and the sale proceeds do not cover the remaining balance, the lender may seek a deficiency judgment for the unpaid amount.
Getting Your Personal Property Back—Fast
The repossession company must catalog every item inside the car, from child seats to work tools. Lenders must provide you with written notice including a detailed list of the personal property found inside the car. Follow these steps:
- Call the lot within 24 hours and request the inventory list.
- Schedule pickup; bring photo ID and proof of ownership.
- Photograph items as you receive them.
- Sign for the property and keep the receipt.
Disposing of or charging for personal property violates state of Texas consumer rules and may trigger attorney fees.
Case‑Law Spotlight: MBank El Paso v. Sanchez, 836 S.W.2d 151 (Tex. 1992)
MBank’s contractors hooked Mr. Sanchez’s pickup while he stood between the truck and the street, repeatedly telling them to stop. The Texas Supreme Court held that continuing the repossession created a breach of the peace and that the lender’s duty to avoid violence is non‑delegable. In plain English, a bank cannot dodge responsibility by hiring a third‑party repo company. The ruling still protects Texas borrowers today by allowing lawsuits for property damage, lost wages, and attorney fees whenever a repossession turns threatening. Source
Bankruptcy as a Shield Against Repossession
When you file for bankruptcy, an automatic stay is issued that halts all collection activities, including repossession. Filing bankruptcy triggers this automatic stay—a court order that freezes all collection, including the repo in progress. A bankruptcy case can help reorganize or eliminate certain debts, such as car loans, credit card debts, and other unsecured debts, providing significant debt relief. In Chapter 13 we can reclaim the car, roll past‑due payments into a manageable plan, and sometimes reduce high interest. In Chapter 7, the stay still stops the tow, but you must be able to reaffirm or redeem quickly to keep the vehicle. An experienced lawyer can help you navigate the bankruptcy process and maximize your chances of keeping your vehicle. Note that repossession stays on your credit report for up to seven years, but filing for bankruptcy may help mitigate some of the long-term credit damage.
Related: Chapter 13 Bankruptcy Lawyers in Dallas
Automatic Stay Timeline & Required Filings
- Day 0: Emergency petition e‑filed; stay activates.
- Within 14 days: We file full schedules listing the car loan, monthly payments, and fair market value.
- First 30 days: Initial plan payment made to the trustee.
Deficiency Balances, Credit Damage & Debt Collection Lawsuits
If the auction price falls short, the difference becomes a deficiency balance. After repossession, lenders may engage in collection activities to recover the remaining debts, including any costs related to the repossession and sale of the vehicle. The lender may sue within four years and report the loss on your credit report for seven years. Sale proceeds from a repossessed vehicle first cover repossession costs before reducing the borrower’s debt. Under the Texas Debt Collection Act and the FDCPA, you can dispute inflated repossession costs or harassment. You continue to owe a deficiency balance after repossession if the sale of your car does not cover the debt.
Negotiating or Defending a Deficiency Claim
- Statute of limitations: 4 years from the sale date.
- Typical settlements: 40–60 percent of the balance. Negotiating a reduced payoff may be a viable option for many borrowers facing a deficiency claim.
- Defenses: Improper notice, unreasonable sale price, breach of the peace, or excessive attorney fees.
Texans’ Defenses to Wrongful or Abusive Repossession
You may challenge a repossession when the repo company:
- Commits a breach of the peace or uses deception.
- Trespasses onto locked or gated property in Dallas County.
- Damages a driveway, fence, or neighboring car.
- Ignores special protections for active‑duty military under the SCRA or operations on tribal land.
However, attempting to physically interfere with a repossession or threatening a repo agent could result in criminal charges.
Evidence checklist: photos, videos, police reports, witness names, repair receipts, and all lender notices.
Attorney Migliaccio on Halting a Repo With Chapter 13
Recently, we responded to a 6 a.m. call from a Plano father who reported his family’s SUV was missing. The repo man had lifted it overnight, even with two car seats strapped inside. The auction was set for Friday—only four days away. We met that morning, reviewed his pay stubs, and drafted an emergency Chapter 13. By lunchtime, the petition was filed and the automatic stay faxed to the repo lot. They tried to demand storage fees, but the stay blocked those charges. Thursday afternoon a flatbed delivered the SUV back to his driveway. His kids watched from the porch, cheering as their backpacks re‑appeared. Moments like that remind me why moving fast matters. A well‑timed bankruptcy can turn panic into relief and keep North Texas families on the road.
FAQs: Texas Repossession Timeline and Process
How many car payments can you miss before repossession in Texas?
Although many lenders wait 30 to 60 days before taking legal action, Texas law allows repossession immediately after the first missed payment.
Important: Always review your loan agreement. Some lenders offer a grace period, but Texas law doesn’t require one.
For more help, read about the Texas statute of limitations on debt.
Do lenders have to notify you before repossessing a car in Texas?
Under Section 9.609 of the Texas Business and Commerce Code, lenders may use “self-help” methods without prior notice—as long as they don’t breach the peace.
However, they must notify you after the repossession but before the car is sold. This notice includes:
The auction or sale date
Your redemption rights
The full amount you must pay to recover the vehicle
FAQs: Repo Agent Rights and Restrictions
Can a repo man enter private property in Texas?
Driveways
Apartment parking lots
Public access spaces
They cannot break locks, force entry, or trespass into fenced or secured areas. Doing so is a breach of the peace and may result in legal penalties.
Even if a gate is accidentally left open, agents may enter—but only if they don’t damage anything or disturb the peace.
Can a repo agent tow my car with me or a passenger inside?
Towing a car with someone inside is a serious breach of the peace and can result in a wrongful repossession lawsuit.
This rule protects:
Drivers
Passengers
Even individuals who enter the car during the repossession attempt
FAQs: Post-Repossession Rights and Options
How do I get my car back after repossession in Texas?
Redeem – Pay the entire loan balance, including fees.
Reinstate – Pay only past-due amounts (only if your contract allows).
File Chapter 13 bankruptcy – Stops the auction and lets you catch up over 3 to 5 years.
Tip: Redemption is always available, but reinstatement depends on the language in your loan agreement.
What personal property can I retrieve from a repossessed car in Texas?
Child car seats
Tools and electronics
Medications and documents
Repo companies must return your property during regular business hours, free of charge.
To protect yourself:
Bring photo ID
Photograph all items
Ask for a written receipt
They cannot hold your property hostage or demand a fee to return it.
How much are repossession fees in Texas?
Towing: $75–$150
Storage: $20–$40 per day
Admin fees: $50–$200
These amounts get added to your loan balance and must be paid to recover the vehicle.
Note: If the fees seem unfair or excessive, you can challenge them in court.
Will filing Chapter 13 stop a repo sale already scheduled?
However: Once the auction is complete, bankruptcy can’t undo it. You must file before the gavel falls.
This protection also stops collections while your case moves forward—whether you’re in Dallas, Denton County, or anywhere else in Texas.
FAQs: Legal Consequences and Liability
Is it illegal to hide your car from repossession in Texas?
Illegal actions include:
Moving the car across state lines
Tampering with the VIN
Concealing the vehicle with intent to defraud
Important: Simply parking in a different location or driving normally isn’t illegal. The law only applies when there’s intentional concealment.
Can I sue for damages if the repo truck damaged property during repossession?
Fences or gates
Landscaping or driveways
Neighboring property
Texas law lets you recover repair costs and even statutory damages if the agent violated the peace.
Helpful tip: Take clear photos, gather repair estimates, and document everything right away to build your case.
How long does a repossession stay on your credit report in Texas?
Even if you pay off the balance later, the entry remains. It will simply update to a “paid” status.
This rule follows the Fair Credit Reporting Act (FCRA) and applies across the U.S., including all Texas counties.
Conclusion & Next Steps
Remember:
- You have a 10‑day window to reclaim or restructure your car loan.
- Lenders and repo companies cannot breach the peace.
- A fast bankruptcy filing may bring the vehicle back and protect your credit.
- Financial planning, like budgeting or increasing income, can help prevent future repossessions.
Time is critical once the truck pulls away. Call (888) 584‑9614 or contact us online now for a free consultation with our North Texas bankruptcy team. Over 20 years of positively influencing Texas families shows that swift action—and solid legal advice—protects cars, credit, and peace of mind. Lenders may be willing to negotiate new payment arrangements to avoid repossession, so act quickly to explore your options. For guidance on repossession and bankruptcy matters, consult with an experienced attorney who can review your legal rights and help you navigate the process.
Disclaimer: This article provides general information and is not legal advice. Reading it does not create an attorney‑client relationship. Always seek personalized legal advice before acting on any matter described herein.
