buying a repo car

4 Things to Know About Buying a Repossessed Vehicle

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Interested in buying a repossessed car, truck or SUV? You’ve come to the right place! provides a directory of links to banks and credit unions throughout the U.S. that are selling their repo inventory. You can find great deals on all types of vehicles – even new ones! 

If you’ve never bought a repossessed vehicle before, you likely have questions about what the process entails and what you can expect from your purchase. Below are four important things to know about buying a repo car. 

1. Repossessed vehicles are often in great condition. 

Repo vehicles can be just as safe as buying any other car. The exception is that you have to take on more responsibility, as the car hasn’t been inspected. You are purchasing the vehicle as-is, so it’s important to do your research and inspect the vehicle. If you’re not comfortable doing that, you can hire a mechanic.

Another thing you can do to ensure a quality repo includes obtaining a vehicle history report. This report gives you all the information you need to decide whether or not you want to buy the vehicle, such as the number of owners, serious accidents, odometer rollbacks and recall information. 

2. The seller should always give the option to check out the vehicle. 

Ideally, you’ll want to look at repos nearby where you live so that you can easily travel to them. The seller should always give you the opportunity to inspect the vehicle. If they don’t, this is a red flag. 

However, you may not have the option to test drive the vehicle due to liability reasons, or you may only be allowed to drive in a small parking lot. Either way, you have the right to look at the vehicle and assess its condition before signing anything.

3. A repossession does not affect the car’s title or warranty. 

A car is repossessed when the owner can no longer afford to make the payments they agreed to. The lender then has the right to take back the vehicle and sell it to recoup their losses. Car payments are at all-time highs, so repossessions are not uncommon. 

The good news about repossessions is that they do not affect the warranty or title of the vehicle. In fact, if the car is relatively new, it may still have the manufacturer warranty intact, and that will transfer to you. 

4. To be competitive, know how to make a strong bid. 

There’s a lot of competition among repo cars, so you’ll want to know the anatomy of a strong bid. This includes offering a fair price for the vehicle you’re getting, as it may need some work. Some people say that offering 20 percent more than the minimum bid is a good place to start. 

Keep an eye on the bidding so that you know when it ends. Even if you didn’t get the highest bid, it’s possible that you can still win. If the highest bidder doesn’t accept the repossessed car, it will go to the next highest bidder and so on. This could be you, and you’ll want to respond promptly. makes it easy to find repo cars in your area. Simply click on your state and you’ll get a list of banks, lenders and credit unions in your area that have repo inventory available!