Repossession Laws in Florida

Falling behind on your car payments can be incredibly stressful—especially if you're worried your car might be taken away. For many people, a vehicle isn’t just a way to get around. It’s how you get to work, take your kids to school, or run errands. The idea of losing it can feel overwhelming. If you’re facing the possibility of repossession in Florida, knowing your rights and understanding the process can help you feel more in control and figure out your next steps.

What Is Repossession?

When you buy a car with a loan and fail to make the payments, the lender can take the car back through a process called repossession. The lender has the legal right to repossess the car because auto loans are secured debt. The car is what “secures” the loan. So if you don’t make your loan payments, the lender can take the car back and sell it to recover their loss. 

Repossession laws vary from state to state. Florida repossession laws are favorable for lenders that want to repossess a car after a borrower defaults. That said, you as a borrower still have rights in the repossession process, too.

How Many Payments Can I Miss Without Risking a Repossession in Florida?

In Florida, lenders are legally allowed to start the repossession process after just one missed payment. But in reality, whether that happens depends on your specific loan agreement.

Some lenders offer a short grace period, giving you a few extra days to make a payment without late fees or other penalties. It’s a good idea to check your loan contract or contact your lender to see how they define a default.

Will I Be Notified Before the Repossession? How?

Florida law doesn’t require lenders to give you a warning before they repossess your car. But they do have to give you a chance to return the car voluntarily and collect your personal belongings first. This usually involves agreeing on a time and place to hand over the vehicle.

If you don’t respond or turn in the car, the lender can move forward with repossession at any time, without giving you more notice. Some lenders still choose to give a heads-up, but they’re not required to. Your loan contract may explain how notice will be handled, so it’s worth reviewing.

How Can I Prevent a Repossession?

One of the best ways to avoid repossession is to make sure your car payment fits your budget before buying a vehicle. It also helps to hang on to your car as long as you can. Trading in cars too often can lead to higher monthly payments and even leave you owing more than the car is worth.

Still, unexpected financial hardships can happen to anyone. If you’re behind on payments or worried about falling behind, here are a few steps people often take to avoid repossession:

• Talk to your lender: Some lenders are open to working with you. They may be willing to adjust your loan terms or set up a new payment plan that fits your current situation.

• Catch up on missed payments: If you’re able to pay what you owe—including any late fees or repossession costs—you might be able to bring your loan current and avoid losing the car.

• Consider bankruptcy: If your car payment is just one piece of a larger financial puzzle, filing bankruptcy might help. In some cases, people are able to keep their car through the bankruptcy process. Consider setting up a free consultation with a bankruptcy attorney to learn more about your options.

Should I Voluntarily Repossess When I Know I Can’t Make the Payments?

If you're going through a tough time and know you won’t be able to keep up with your car payments, you might want to think about a voluntary repossession. This means you return the car to the lender or dealership instead of waiting for them to come take it.

Voluntary repossession doesn’t erase the loan, but it can be a less stressful option than waiting for the car to be taken unexpectedly. Some possible benefits include:

• You control the timing. You get to decide when and where to return the car, which can make the process feel more manageable.

• You may avoid added costs. Turning in the car yourself could help you avoid paying some of the lender’s repossession fees.

• It protects your privacy. A voluntary repossession is usually more discreet—your neighbors won’t see a tow truck showing up at your home.

• It may be slightly better for your credit. While both voluntary and involuntary repossessions will show up on your credit report, voluntary repossession may be viewed more favorably by future lenders.

This option isn’t right for everyone, but for some people, it’s a way to take control in a difficult situation.

What Can Repo Companies in Florida Do?

In Florida, repossession companies must be licensed and properly trained to take back vehicles. If you’re unsure whether a company is legitimate, you can check their license status through the state’s regulatory website.

Under Florida statutes, repossession agents—sometimes called "repo men"—can take your car without giving you notice, as long as they don’t cause a disturbance. This is known as avoiding a “breach of the peace.”

That means:

• They can come onto your property to take the car, including your driveway.

• They can’t enter a closed garage, break locks, or go inside your home without permission.

• They can’t use force, threats, or deception to get the vehicle.

• Most agents try to avoid direct contact and take the car quietly to avoid problems.

It’s also important to know that you aren’t allowed to block or physically stop the repossession. Doing so could lead to legal trouble or even arrest. While the situation can feel unfair or frustrating, staying calm and informed can help you protect yourself.

What About the Personal Property in My Car?

If you know there’s a chance your car may be repossessed, you should remove all your personal belongings. If you haven’t done this and your car was repossessed with your personal items inside, Florida law is clear that a creditor may not keep or sell them.

They must inventory your personal items and keep them for 45 days. They also have to give you instructions on how and where to recover your belongings. 

If you don’t retrieve your possessions as instructed, the creditor may dispose of them. Also, these rules don’t apply to most upgrades made to the car, such as running boards and sound systems. 

What Happens After a Repossession in Florida?

Once a creditor repossesses your car in Florida, they may either keep the vehicle or sell it at a public auction or private sale. The creditor must give you written notice of what they decide to do with the car.

If they choose to sell the car at a public auction, the creditor must send you a written notice at least 10 days before the sale that includes the date, time, and place of the sale.

Should I Demand the Car Be Sold if the Creditor Decides To Keep It?

You have a right to demand that the creditor sell the car rather than keep it. It’s in your best interest to do this when the car is worth more than what you still owe on the loan. Even so, the car may sell for less than the balance you owe (which includes past-due payments, late fees, and the lender’s repossession costs). When this happens, the creditor can sue you for the difference between what you owed and what the car sold for at auction. This is called the deficiency balance. 

For example, say you owe $12,000 on a motor vehicle, and it sells for $9,000. In this case, the creditor may sue you for the $3,000 difference. Creditors can only try to collect the deficiency balance if the unpaid loan balance at the time you defaulted was more than $2,000. You’ll receive notice of a court date if the creditor decides to sue for the deficiency balance. If the creditor wins in court and you’re unable to pay the full amount owed, the creditor may get a court order called a deficiency judgment. This allows them to garnish your wages or bank account. 

What if My Car Sells for Much Less Than It’s Worth?

Florida state law requires that repossessed cars be sold in a commercially reasonable manner. If your car sells for less than its fair market value, the courts may consider the sale to be unreasonable. If your car sells for less than it’s worth, you may be able to:

• Sue the creditor for damages.

• Re-purchase the vehicle. To do so, you must be able to pay the full amount you owe on the loan (not just the missed payments) plus the lender’s repossession costs.

• Reinstate the loan by paying the lender the amount that is past due (not the entire loan amount) plus any costs the lender has incurred.

• Use the fact that the car sold for less than fair market value as a defense against a deficiency judgment if the lender sues you to collect the deficiency.

Do I Still Owe After a Repossession in Florida?

Having your vehicle repossessed doesn’t mean you’re completely off the hook and don’t have to worry about the car loan anymore. If the sale proceeds aren’t enough to cover what you owed on the loan as well as your lender’s costs to repossess the vehicle, you may be left with a deficiency balance. 

Voluntary repossession will help you to avoid these additional fees and costs. In a voluntary repossession, you voluntarily surrender your vehicle to the lender or dealership to avoid having it repossessed. This also allows you to avoid paying the fees of repossession, though you may still owe money on the loan.

Can I Get My Car Back After a Repossession in Florida?

You can recover a repossessed vehicle in Florida. The two most popular ways to get your back after repossession are:

• Bankruptcy: Filing bankruptcy may give you the option to affirm your loan and avoid repossession.

• Redemption: If you have money at your disposal, you may be able to contact the lender and negotiate a lump-sum payment for the return of your vehicle

Where Can I Find More Information About Repossession Laws in Florida?

• The Florida Attorney General’s office provides information on how to Protect Yourself in an Automobile Repossession.

• Jacksonville Area Legal Aid has information on car repossessions.

• The Federal Trade Commission has information on how to deal with being behind on car payments because of the coronavirus.

• Community Legal Services of Mid-Florida has repossession and other consumer protection information as well as resources for low-income Floridians to get legal assistance.