When facing financial difficulties, especially with vehicle payments, a common concern arises: “Is there a repo order on this car?” In New Jersey, the process of vehicle repossession is governed by specific regulations, primarily N.J.S.A. 39:10-15, designed to protect both lienholders and vehicle owners. Understanding this process can help clarify whether a vehicle is subject to repossession and what steps might be involved.
In essence, a vehicle is repossessed when the owner defaults on their security agreement, meaning they fail to keep up with payments for a financed or leased vehicle. While there isn’t a formal “repo order” in the way one might imagine a court order, the lienholder has the legal right to repossess the vehicle after a certain point of delinquency. This process in New Jersey requires adherence to specific procedures to ensure legality and fairness.
To initiate the repossession process in NJ, especially when aiming to title or sell a repossessed vehicle, the lienholder must first possess the Certificate of Title. If the original title is missing, the lienholder is required to apply for a duplicate title from the New Jersey Motor Vehicle Commission (MVC).
Applying for a duplicate title can be done in person at a motor vehicle agency or potentially online through their services, although for repossession cases, in-person or mail applications might be more pertinent due to required original documentation later in the process. A fee of $60 is applicable for a duplicate title, payable by various methods including American Express, Visa, MasterCard, Discover, checks, cash, and money orders.
In scenarios where a vehicle is repossessed, and a lien was mistakenly omitted from the title, a title correction is necessary. This specific transaction is handled by the MVC’s Database Correction Unit, which can be contacted at 609-292-6500 ext. 5058 to rectify such errors.
For lienholders looking to understand the complete procedure, the MVC provides detailed Instructions for Default of Security Agreement (Form OS/SS-99). This document is crucial and should be used in conjunction with two essential forms: the Notice of Seizure of Motor Vehicle (OS/SS-55) and the Application for Repossession Certificate of Ownership (OS/SS-57). All these documents are conveniently one page each and available for download online.
Should any assistance be required during this process, the MVC’s Title Records Unit is available at 609-292-6500 ext. 5070, or via email at [email protected]. The MVC also offers to mail a packet of information upon request, but it is important to note that while information packets can be received via mail or email, the submission of original paperwork and required fees must be done through mail to the designated address.
Steps to Seize a Vehicle in New Jersey
When a lienholder decides to seize a vehicle due to default, the first step is to complete the Notice of Seizure of Motor Vehicle (OS/SS-55) form. This completed form must then be mailed to the New Jersey Motor Vehicle Commission at the following address:
New Jersey Motor Vehicle Commission
Special Title/Repossession Unit
225 E. State Street
PO Box 017
Trenton, NJ 08666-0017
Following the seizure, it is mandatory to notify the vehicle owner/debtor via mail about the impending sale of the vehicle. This Notice of Sale must provide the owner/debtor with a reasonable timeframe to redeem the vehicle by settling the outstanding debt.
Steps to Sell a Seized Vehicle
After a reasonable period, typically around 10 to 14 days after sending the notification of sale, the lienholder can proceed to sell the seized vehicle. To do so, the following documents and fees must be submitted by mail to the same MVC address mentioned earlier:
- Original Certificate of Title (If missing, a duplicate title must be obtained first).
- Application for Repossession Certificate of Ownership (OS/SS-57).
- A copy of the security agreement or lien contract.
- A copy of the Notice of Sale sent to the owner/debtor.
- Power of Attorney (POA) for the individual signing the application.
- $60 title fee, or $85 fee for financed vehicles. If a duplicate title was required, an additional $60 fee is necessary.
Important Note: As of August 1, 2014, courts submitting a Writ of Execution using the Notice of Seizure (OS/SS-55) are required to submit this form electronically to the MVC Title Record Unit via email at [email protected].
For any further questions regarding vehicle repossession in New Jersey, contacting the MVC’s Title Records Unit at 609-292-6500 ext. 5070 is recommended. They can provide clarification and guidance through the repossession process.
Related Resources
Instructions for default of security agreement
Notice of seizure of motor vehicle
Application- title repossessed vehicle
