Overhaulin'

will my new car be repossessed if i don't have full coverage?

I just bought a new car, and I can't pay the insurance for it because it has to have full coverage. If my insurance can't give me anymore discounts, and I can't pay it, will my car be repossessed?

Public Comments

1. Yes. Why did you buy the car if you couldn't afford full coverage? Talk about putting the cart before the horse.
2. Yes it will, it is one of the terms of the conditions that you signed for in the beginning...
3. Another thing they can also do is get their own insurance on the car and add the monthly payments to your car payment. They don't get cheap insurance either. It is usually double the amount of what you would pay on your own.
4. Not carrying the insurance coverage required by the lender places you in default of your loan agreement. They have the right to repossess if you are in default. What will most likely happen is place insurance on the car for you and you will have to pay for it. It's expensive, and only protects their interest, not yours.
5. In the USA, If it is financed, Your car can be repossessed if you don't make the payments. If you can't buy the required insurance for it, the finance company will buy insurance for it but only to protect "their car" (not you or others) and they will bill you for it. It is VERY expensive when they do that. (you don't want that to happen). If you don't buy liability insurance for it, the state will revoke your driving privilege and fine you. If you couldn't afford the insurance, why in the world would you buy a new car in the first place?