How can people fight repossession of property or homes?

We should only buy things we can afford, but that doesn’t stop us from making some bad financial decisions. In many cases, people make all the right choices and circumstances still keep them from financial success. Although creditors often have the right to reclaim what they are owed, they must follow specific rules regarding repossession.

How does a person or company start a repossession?

A repossession should not begin in Minnesota until a debtor has been in default for 30 days or more. In this case, the creditor – or “secured party” as defined by law – must send a registered or certified letter to the possessor. The letter will give a debtor 30 days to settle the default.

What if a person does not get or acknowledge the letter?

If a debtor has not signed the registered or certified letter within seven days of receipt, the secured party may proceed with a repossession as if it was signed.

How does repossession work once those notices have been sent?

The secured party may apply for a court order to repossess the property as long as the debtor has not exercised a right to reinstate the payment. This would allow the secured party to request a sheriff or other law enforcement agency to give access and keep the debtor’s access closed.

How can debtors fight repossession?

As well as invoking the right to reinstate, people may look for legal help fighting repossession. An attorney may be able to advise on the different ways that people may be able to escape default and prevent repossession.