Finance, Credit and Repossession Information Resource

Repossession without having a license to repossess becoming common place

repotruckI have been saying for a while now how badly unlicensed repossession would affect this industry, how badly rules would change as populations increased especially in Florida. These days, dealing with cultural and societal differences that seek nothing less than massive short cuts have taken place and aside from all other business, licensing and legal issues the repossession field would be greatly impacted due to extreme price gouging among other considerations. Not to mention making a complete mockery of the business itself.

One of the main problems is the grey area of in house buy here pay here dealers being allowed to repossess their own cars. This grey area will be fully manipulated and indeed exploited so much that the state will have to eliminate that all together. Just because a buy here pay here lot does in house financing should not allow them the right to repossess as well when licensing takes so long to get. There is a reason for such a long process of licensing so that this business will hopefully remain professional.

How do you know illegal repossession are taking place?

To start with all you really have to do is take a note of all the newer cars being picked up by tow companies left and right. In fact, I was in the SW part of town the other evening and while pumping gas, I noticed a fully marked tow company truck with no repo numbers whatsoever with a fairly new 2012 Dodge Caravan on the back. While there is a chance this car could have really broken down and yes their are absolutely lemons being sold, it’s just far too coincidental for this to not have been a repo or lets say for coincidence sake, 1 out of 10 of those are true break downs. This is a case where a tow company is being used to do repossessions for someone and the fee’s are probably 3 times lower than the true fee’s of a repossessions company. This car was probably picked up for a $100.00 bill which is insane for this business.

Repossessions being down for the last few quarters but yet car sales are up

This could be the fact that the numbers are coming from repossession companies and all of the unlicensed activity is not showing up in those numbers therefore coming out much lower. Sort of like the unemployment rates dropping due to those on unemployment running out of unemployment and eventually falling off the charts, allowing for false numbers among a society that actually listens that garbage.

Bottom line is that it is a fact unlicensed activity is going on and going on in a big way. It must be addressed before the industry is crushed completely by the new form of short cuts that are flying in. Its all about making a dollar today and screw tomorrow ridiculing a once highly professional industry or multi tasking with an unlicensed tow truck company.

Ironically, the same week I notice this truck at the Hess station, the very next day I have two e-mails from the FLCARS asking to fill out a survey on unlicensed activity and also with a date to meet on unlicensed activity so it appears that this is already being addressed thankfully. For the sake of repossessions, we are in hopes that this unlicensed curb comes about. My take is that the grey area must be eliminated and used car dealers should lose the right to repossess their own cars, allowing for dealers to say “yes he works for us.” The same thing is happening with law firms now and private investigators being hired without licenses which should also be addressed simultaneously.

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