Do I still owe money after a repo?

"Will I still have to pay my car loan if my car is repossessed? I can't pay for my car loan any more and the bank has started repossession proceedings."

Answer provided by
Eric Schad
Answered on Jul 28, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
“You might owe money, but it depends on a few factors.
Once your car gets repossessed, the lender will sell the vehicle at auction. Whatever money they get from this auction is then applied to your loan.
If the auction price pays off your loan, you won’t owe anything. If it doesn’t, you’re still on the hook for the remaining balance of the loan.”

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