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repo vehicle for sale

Where Can I Buy Repossessed Cars for Sale?

Auto repossessions are more common than people think. If you’ve fallen behind on your payments, the lender can repossess your vehicle to recoup some of their losses. However, your car may also be repossessed for other reasons such as not carrying adequate insurance. 

Repossessions are certainly not fun, especially when you depend on your car to get to and from work. But there’s a light on the other end of the tunnel – repossessed cars can be sold to the public at steep discounts. If you’re not in a position to pay full price for a new vehicle, a repo car is an excellent alternative. 

So where can you pick up a repo car, truck or SUV? Below are your options. 

Lenders and Credit Unions

Some lenders and credit unions make their repossessed inventory directly available to the public. They’ve waited to receive payment from the owner and were unable to work something out, so they’re eager to recoup their losses in a quick sale. And, lenders and credit unions are not in a position to store or care for vehicles, so they are especially motivated to sell them. Their loss is your gain!

Vehicle Auctions 

Vehicle auctions, both online and in-person, provide another opportunity to shop for repo inventory. The nice thing about auctions is that you’ll have a wider selection of vehicles to choose from as opposed to a lender that only has a few cars on their lot. That said, there is a lot more competition with auctions, so you must be prepared to make effective bids, as well as have pre-approved financing or cash lined up. 

Repo Company 

Repo companies are the middlemen between the lender and the buying public. This route is actually very convenient because you can browse a wide inventory of vehicles, perform quick searches and place a bid all in one sitting. While you might think that this route will cost you more, it probably won’t. The cars are still being sold by lenders and credit unions, so they want to sell them quickly. You can expect the prices to still be on the low side. 

Used Car Lots 

Your last option for purchasing a repo vehicle is a used car lot. This is a straightforward way to purchase a repo, and you don’t have to worry about bidding against others. Even better is that the cars are often cleaned up and light repairs are made. However, in exchange for all of this, used car lots charge more for their repos. In fact, some are the same price as a used car!

Shop with RepoFinder Today 

There is no right or wrong way to shop for repo vehicles. It all comes down to the selection and the price you’re willing to pay. RepoFinder offers a huge selection of repossessed SUVs, compact cars, hatchbacks, minivans, crossovers and more. Browse our selection of repos today and see how easy and affordable it is to shop with us!

financing for repo cars

Is it Better to Finance My Car through the Dealer or a Credit Union?

If you’re buying a car and need a loan to help pay for it, you have the option to get financing through a bank or the dealership. The right choice depends on various factors, such as the type of vehicle you’re buying. By understanding your options for financing, you can make the best decision for your next car purchase. 

Financing through a Bank 

Bank financing involves going directly to a bank or credit union to get an auto loan. Generally speaking, you’ll get a quote and letter of commitment that you can take to the dealership or even an online car auction. This shows that you’ve already been preapproved and gives you stronger negotiating power. 

The nice thing about going through a credit union or bank is that you’re getting true rates. There are no markups that you might get with a dealership. The only thing to be aware of is the difference between buying a new and used car. Some banks and credit unions have limits on the vehicle’s age and mileage. 

Financing through a Dealer 

This option works the same way as bank financing, except that the dealer is doing the work for you. After you pick out the car you want, the dealer will have you fill out an application and submit it to multiple lenders. This allows you to compare rates and terms so you can get the best deal. 

Typically, you’ll get lower interest rates on a new car. Used or repo cars often come with a higher interest rate. Sometimes, the dealer may even negotiate a higher interest rate than what the lender offers and use this difference as compensation for handling the financing on your behalf.

What Financing Option is Right for Me?

The best financing option is the one that will save you the most money. We generally recommend starting with bank financing so that you can see what the banks and credit unions are willing to offer you. You can then take this information to the dealer and ask them to get you quotes as well. 

Now, if you’re planning on buying a brand new vehicle, you’ll probably find that dealers offer the best financing, including 0% APR. If you’re going to buy a used or repossessed vehicle, applying for a car loan through a bank or credit union is probably best. In fact, if you’re buying a repo car, ask the seller about their financing options, as they may be willing to cut you an even better deal. 

Save Money on Used Cars at RepoFinder 

RepoFinder.com has a wide selection of repossessed vehicles that are available to the public. You do not need a dealer’s license to purchase them. Shop our inventory of cars, trucks, SUVs and recreational vehicles and see how affordable they are. Come with pre-approved financing or talk to the banks and credit unions about your options. A safe, affordable car is within reach!

SUV car

How Do I Buy a Car from RepoFinder?

If you’ve landed on our website, you’re probably shopping around for a car and looking for a great deal. We’re the place to make this happen! Our website offers a full list of banks and credit unions that are selling repossessed vehicles. (You can learn more about repossessions here). Even though the banks take these vehicles back, they don’t care to keep them. This is why they sell them to dealers or the general public. 

Many banks and credit unions choose to sell their repo inventory to dealers because they can get rid of many vehicles at once. Unfortunately, everyday people who are looking for a discounted vehicle aren’t able to access this inventory. But, you’re in luck! RepoFinder only sells to the public. This allows you to purchase repos directly from the source.

What are the Steps to Buying a Vehicle from RepoFinder? 

Whether you’re shopping for a car, truck, SUV or recreational vehicle, RepoFinder has it all. We even get small aircraft and boats! We’ll walk you through the process of buying a repossession so that you know what to expect. Please note that each bank and credit union has their own process for selling repos, so there may be some slight differences. 

View our list of repossessions

Start with our USA map and click on your state. This will pull up all of the banks and lenders that sell repo inventory. Because banks are always getting new vehicles, check back often if you don’t see something you like right away. Repo sales require patience! 

Make an offer 

When you find a vehicle that fits your needs and price range, you can make an offer. Most repos are priced by the bank based on the vehicle’s book value or recent appraisal. However, don’t be afraid to offer less. 

Sometimes you can see what other people are offering (open bid) and sometimes you can’t (closed bid). Open bids are more common because you can compete with others. You can give your offer verbally over the phone or by filling out an online form. 

Inspect the vehicle 

If your bid is accepted, it’s important to do your due diligence. Only work with sellers who are willing to let you inspect the vehicle. You may not be able to take it for a test drive, but you should be able to look at its condition. Remember, you don’t get protection with a repo, so it’s yours to keep once you drive it off the lot. 

Purchase the vehicle 

Once you’re comfortable with the purchase, you can proceed with the sale. The benefit to working with the banks is that you can get financing directly from them. In fact, banks are often willing to negotiate better pricing, terms and interest rates when you buy direct. And, you don’t have to deal with pushy salespeople working for commission. 

Hopefully you can see how easy it is to buy a car from RepoFinder. Remember these three things: be patient, do your homework and check back often. If you keep these things in mind, you should have no trouble finding a great vehicle at a fantastic price! 

orange jeep

How Does RepoFinder Differ from Dealer-only Auctions?

RepoFinder offers a simple directory of banks and credit unions across the U.S. that sell repossessed vehicles. Repossessions are vehicles that have been taken back by the banks when the owner falls behind on payments. Sometimes, these vehicles are taken without warning or court approval. 

To use our services, all you have to do is click on your state and you’ll see a list of banks and credit unions in your area that sell repossessions. Some have active listings, and some may not. Be patient and check back often, as things change daily. Our services are free to use. When you find a vehicle that you like, you can negotiate with the banks and purchase it at a discount. 

Why Do Banks Sell Repos for Cheap? 

Because banks make their money by lending money to others, the last thing they want to do is take back a car. However, this is the only way to recoup some of their losses. So, they’ll usually see if the owner can catch back up on payments, and if not, the bank will sell the vehicle to the public at a discounted price. 

There are two main reasons why banks sell repossessed vehicles for cheap. The first is that they want a quick sale. Cars take up space, and banks aren’t dealerships, so they want them off their lots as quickly as possible. Second, repossessions often need some type of maintenance, so buyers need to factor this into their purchase. To make the vehicles more attractive, banks discount the price to offset some of the repair costs. 

How is RepoFinder Different from Dealer-Only Auctions?

Each bank and credit union has a different way of marketing their repo inventory. Many prefer to sell their vehicles at dealer-only auctions because they can get rid of many vehicles at one time. Remember, banks are just looking to recoup some of their losses. They don’t care where the vehicles go. 

Dealer-only auctions are closed to the public. Only licensed dealers can attend. And unless you plan on getting into the business of selling vehicles, you won’t be able to obtain a dealer’s license. Dealers purchase the vehicles they want at a discounted rate, fix them up and resell them to the general public. Often, these vehicles are marketed as “repos” but they technically are not. A real repo sale happens between you and a bank. 

What are the Benefits to Buying Repos Direct from the Bank? 

When you buy a repo directly from the bank, you can expect a wide range of benefits: 

  • Cheaper price. Repos are sold at heavily discounted prices. 
  • Ability to negotiate. You can offer less than what the banks are asking for. Don’t be afraid to negotiate! 
  • Bank financing. Because you’re buying from the bank, you can also get help with the paperwork and financing. 
  • Commission-free. A commission-free environment ensures less pressure on you, plus the ability to work out better pricing. 
  • No emotional attachment. Banks have no emotional attachment to their vehicles. 

Ready to shop with RepoFinder? Enjoy a comprehensive list of banks and credit unions in your area that are selling repossessions. 

two people in vehicle

People are Attached to their Cars. Banks Aren’t. Negotiate a Great Deal on a Bank-owned Car.

This entry was posted in Repo Cars and tagged , , , on by .

Some people have an emotional attachment to their cars. They give them a name, gender and even a personality. Even though it may sound silly to have a personal relationship with a vehicle, it’s not uncommon. According to one study, 70 percent of respondents admitted to feeling “very attached” or “somewhat attached” to their cars. 

There are a number of reasons why people get attached to their vehicles. For example, people often go through major milestones with them – weddings, road trips, new babies. Some view their vehicle as a financial investment, while others have had them passed down. Because of this emotional attachment, 36 percent of people say they want their car to go to a good home. 

Don’t Want to Deal with a Sentimental Owner? Buy a Repo! 

While there’s nothing wrong with having an emotional attachment to your vehicle, things are harder if you’re on the other side. If you’re looking to buy a vehicle that someone is attached to, they may want to charge more because of this emotional investment. They may also be insulted if you try to negotiate. 

The good news is that you can purchase a used vehicle at a great price without having to deal with a sentimental owner. Bank-owned vehicles are in possession of banks and lenders – they were taken from owners who could no longer afford them. 

And trust us, the banks have no emotional attachment to these vehicles. They make money off lending money, not keeping cars. This gives you the upper hand – you can negotiate a better deal and get a more fair, unbiased breakdown of the vehicle’s condition. 

Tips for Negotiating with the Banks 

Buying a bank-owned vehicle is a great option if you’re looking for a fast and easy car sale. Here are some tips for negotiating a great deal on a repo. 

  • Knowledge is power. Know everything you can about the vehicle so that you can negotiate fairly. 
  • Think about financing early. Having pre-approved financing makes you a stronger candidate. The bank will be more willing to close the deal.
  • Read the paperwork. Make sure that the seller isn’t slipping in any additional fees or add-ons.
  • Be patient. If you need to walk away from the deal, that’s ok. Even though there are a lot of bank-owned vehicles, buying one of these cars is a process that requires patience. 

RepoFinder.com has a full list of bank-owned vehicles like cars, trucks, boats, ATVs, motorcycles and more. When you visit our site, click on your state and find the repos available in your area. It’s free, so find an affordable bank-owned car today! 

line of cars

Pros and Cons to Buying Bank Owned Vehicles

A bank-owned car can be a great deal – or a total nightmare. As with other purchases, it’s important to do your research and be a smart shopper. When you’re careful about your purchase, you can take home a safe, reliable car for a fraction of the cost. And, banks have more than just cars. Many people turn to bank-owned inventory when buying pickup trucks, boats, ATVs, RVs and small aircraft. 

Below you’ll find the pros and cons to buying bank-owned vehicles, and then you can decide if this route is right for you. 

Pros of Buying Repossessed Vehicles 

When the owner of a vehicle doesn’t make their loan payments, their vehicle can be taken away by the bank. Usually this happens after a few months of defaulted payments, but it can happen even sooner than that. Some people assume that repos are always old, beat up cars that no one wants, but it’s often the new cars that people can’t afford. 

Here are the pros to buying bank-owned vehicles: 

  • Get a great deal on a decent vehicle. Banks and lenders want a quick sale to reduce their loan loss, which is why they price their inventory low and are willing to negotiate. 
  • Shop a wide selection. Cars and trucks are taken away all the time from their owners. Banks end up selling them to dealerships, the general public or auction sites, leaving you to shop an impressive selection of cars, trucks, SUVs and more. 
  • Fast turnaround. While you do need to be patient when shopping for repos, the process usually moves quickly when you find something you like. Banks and lenders want these vehicles off their lots as soon as possible. 

Cons of Buying Bank-Owned Cars 

There are some disadvantages to buying repossessed vehicles, which is why they aren’t for everyone. Here are some cons to be aware of. 

  • Lack of test drives. It’s possible that you won’t be able to test drive the car before you buy it. This can be a problem if there are hidden issues. To offset this risk, be sure to look at the vehicle’s pictures, get a condition report and schedule an inspection. 
  • As-is purchase. If you buy a repo and decide you don’t like it, you can’t bring it back. You’re stuck with it because all repos are “as-is” purchases. That said, some vehicles still carry their original warranty, which is passed down to the new owner. 
  • Unclear background. Banks usually send out a third-party to repo vehicles, so you probably won’t know a lot about its background. The good news is that you can find most of this information online, as auction centers must disclose this information to the buyers. 

As you can see, there are clear pros and cons to buying bank-owned cars, trucks and RVs. RepoFinder.com has a vast selection of vehicles that are in good condition and have low mileage. Take a look and see what types of vehicles you can find in your price range – it’s free! 

dollar bill

What is the Best Way to Finance a Used Car?

If you’re planning on buying a used vehicle and want to know how to finance it, you’ll be surprised by the options you have. Planning ahead is a smart decision because it allows you to get the best rates. And, by running through a few different scenarios, you can determine exactly what fees to expect when making an auto purchase. 

Below are the best options for financing a used vehicle and the benefits to expect with each one. 

Used Car Loans 

The most popular option for financing a used vehicle is a used car loan. Many car loans come from big banks like Bank of America, Wells Fargo, Capital One and Chase, but there are plenty of others out there, too. Large banks tend to have higher interest rates and fees, while smaller, brick-and-mortar branches are often more affordable. 

To ensure you get the best car loan, it helps to do some research. Know your credit score, determine what you’re willing to spend each month and review different companies. By getting prequalified, you’ll be in a better position when it comes time to bid on a vehicle.  

Credit Unions 

Credit unions can also finance your repo car purchase, just as the banks do. You will end up getting an auto loan with monthly payments, but you can expect a slightly different process. For instance, credit unions are not-for-profit and typically offer lower fees but higher interest rates. Their customer service tends to be above average as well. 

Home Equity Loans 

Used car loans aren’t the only way to pay for a car. If you have equity in your home and you can access it, you may use this money to purchase a vehicle. Home equity loans usually offer lower interest rates than standard auto loans, and you may even be able to write off a portion of the interest on your taxes. 

Personal Loans 

Another option for financing your vehicle is a personal loan. Most personal loans have no restrictions on what you can use them for, giving you the freedom to buy any vehicle you want, including a repossessed luxury vehicle. However, there are things to watch for as well. For example, some personal loans have higher interest rates and additional loan fees compared to auto loans. 

Peer-to-Peer Loans 

Peer-to-peer loan platforms allow you to borrow money from an investor. If you don’t qualify for traditional financing, or you don’t like the offers you are getting, this is an option worth checking out. The requirements are usually less strict compared to banks and credit unions, and the financing typically comes quickly. The loan amounts are usually low, but this won’t be a problem if you’re planning on buying an affordable repossession. 

As you can see, there are many options for financing your repo car purchase. Repossessions are lower in price to begin with, so when you choose the right financing option, you can expect reasonable monthly payments that won’t break the bank.

woman shopping for auto loans

How to Get a Low Rate on a Used Car Loan

Shopping for cars is fun. Shopping for car loans – not so much. The good news is that you are in a stronger negotiating position when you shop for auto loans in advance. Many people don’t do this until they find a vehicle, but at this point, you’re at the mercy of the banks. 

Below are the steps to take to get the best rates on a used car loan. 

Shop in the Right Places 

Don’t wait to look for financing until you’ve won your bid. The best way to get lower interest rates is by shopping for car loans ahead of time. This way, you can compare shop and take advantage of available discounts and incentives. 

Where can you shop? Consider large national banks like Chase or Bank of America, as they tend to have special promotions and automated processes. Also try credit unions and community banks. Credit unions usually have lower interest rates than banks, whereas community banks tend to be more flexible and easier to communicate with. Other options worth looking into are online lenders and financial companies. 

Get Pre-Approved on Your Auto Loan 

Once you have shopped around for quotes, take the next steps to get pre-approved. Having a pre-approval in place shows the seller that you are qualified to purchase the vehicle. And, if you choose to use the seller’s financing services, they’ll know what rates they have to beat, which can result in an ever lower rate for you. 

If you find that you’re not approved for a car loan, be wary of dealers that say they can finance your purchase regardless of your credit. You could end up paying very high interest rates. In this case, it’s better to work on building your credit and trying again for a loan at a later date. 

Know Your Credit Score

Speaking of credit scores, it’s important to know how these numbers affect your ability to get a loan and their influence on your interest rates. Credit scores are important because they tell lenders how likely you are to pay back the loan. Having a high credit number is a good sign, resulting in faster approvals and lower rates. 

According to Experian, buyers with bad credit pay four times more than those with excellent credit. Again, if your credit isn’t good, it may be best to wait on a vehicle and work on improving your score. This way, you can get better rates and loan options when it comes time to buy a repo. 

Manage Your Loan-to-Value Ratio (LTV)

The loan-to-value ratio is the value of the vehicle you’re buying compared to the amount you’re borrowing. For the best interest rates, you’ll need an LTV of 80% or less. If you have an LTV that is greater than 100%, this means that you’re underwater or have negative equity. If something happens to your car, your auto insurance carrier won’t pay for the total loss, which means you’ll still be on the hook for the rest of the loan balance. 

When shopping around for a repo, be sure to check out your options for financing in advance. This way, you’ll have everything ready to go when you start bidding on vehicles. For a full selection of repo lists from local banks and credit unions, visit RepoFinder.com. 

red pickup truck

Is it Safe to Buy a Repo Car or Truck?

A repossessed car or truck is a great way to save money on your vehicle purchase. Not only can you get a great car at an affordable price, but you can also lower your monthly insurance costs and registration fees.

But, some people worry about the safety and reliability of these vehicles. If the previous owner failed to make their payments, they probably didn’t take the car in for routine maintenance. So, how safe can these cars and trucks be? 

When it comes to repo vehicles, each situation is unique. Some repos were maintained relatively well, but the owner fell on hard times. Others need basic maintenance like an oil change and new set of tires. And, there are vehicles that require too much work to be reliable. 

Bottom line: It is possible to find safe, dependable repo cars and trucks. Here are some tips to help you find one of your own. 

Know the Laws in Your State 

It helps to know the repossession laws in your state. Some states allow banks to take back a vehicle if the payment is late by just a few days. That said, most states enforce a grace period before allowing lenders to repo the vehicle. Also, because banks make money off interest, most try to work with the customer before taking away the vehicle. 

Nevertheless, if you live in a state that works quickly on repossessions, you may have a bigger selection of vehicles in decent condition to choose from. The longer your state takes to collect vehicles, the more time they have to sit there. 

Buy Directly from the Lender 

You can find very good deals by shopping through a lender. Dealerships sell repossessed vehicles, but they end up buying them from auctions and fixing them up. At least you know you’re getting a car that has been inspected by a mechanic, but it also means you’ll be paying just as much as you would for a used car. So, buy directly from the lender to save money. 

Most lenders are very good about supplying prospective buyers with information and photos of the vehicle. If you use a repo listing site like RepoFinder.com, you can look through all of the banks and credit unions in your state that are selling top-quality vehicles, as well as items like boats, RVs and ATVs. 

Ask to View the Repo Vehicle 

Many sellers will allow you to view the repo before signing anything. Typically, you’ll place your bid first, and if you win, you’ll have the chance to look at the car or truck. We always recommend bringing along someone who knows about cars so that you can identify potential red flags. 

We also recommend only buying repos that have proper documentation. If you purchase a car that has no title, you could face serious issues down the road proving ownership. Technically, the original owner could come back and claim the vehicle, even if you have been paying on it. 

Find a Safe, Reliable Repo with RepoFinder.com 

RepoFinder.com lists the banks, lenders and credit unions in your state that are selling repo cars, trucks, boats, ATVs, RVs and more. It’s free to use, and you’ll find plenty of pictures and descriptions about the repos for sale. When you find something you like, do your research on the vehicle to identify safety issues or other common problems. This will help you place a strong and effective bid. 

money coins

Why are Repos Priced So Cheap?

This entry was posted in Repo Cars and tagged , , , , on by .

When shopping for a repossessed car or truck, you’ll notice that the prices are much lower than what you would pay for a used vehicle from a dealership. This can make some buyers skeptical, but you don’t need to be. As long as you do your research, ask the right questions and perform an inspection before buying, you should have no problem finding a repo vehicle that is priced 25% to 40% lower than the cost of a similar used car. 

Here are some reasons why repos cost less than similar used vehicles. 

Unknown Condition 

The main reason why repos cost less is because their condition is unknown. When a vehicle comes to a dealership, a mechanic inspects it. Major problems are addressed, and the vehicle is cleaned and ready for a new owner. While helpful, all of this work adds to the price tag of the vehicle.

In the case of a repo car, there is no mechanic to check it out. It’s repossessed from the original owner, and if they can’t catch up on payments, the vehicle is sold through the lender or an auction. The highest bidder then gets the chance to inspect the vehicle before taking it home. 

It’s true that some repos are lemons, but many others are in good condition. They may need an oil change or new tires, but they’ll make a great vehicle. However, it’s up to you to make sure you’re buying a good car, which is why the savings go to you. 

Recoup Losses 

When banks and lenders take back vehicles from owners in default, they just want to recoup some of their losses. Their business comes from lending money to people – not selling cars. Therefore, they want the vehicle off their lot as soon as possible while also getting something out of it. 

There are several websites that specialize in selling repossessed cars, but not all are free. If you want to browse repossessions in your state at no cost, check out RepoFinder.com. Click on your state and view the repos up for bid. Most have descriptions that allow you to see what features the cars and trucks come with, as well as if the seller is accepting bids. 

Maintenance and Repairs

Generally speaking, people who let their car payments go into default are not scheduling regular maintenance. This means that many repos require maintenance and repairs to get them up to speed. With this in mind, banks and lenders price the vehicles at a competitive price so that they are still a bargain even with the added work.

The newer the car is, the less likely it is to need maintenance and repairs. So, if you don’t want to put a lot of work into a repo, we recommend sticking to vehicles that are less than 18 months old. Additionally, there is a large supply of lease returns around 3-4 years old that you can buy cheap. 

If you’re looking for an affordable vehicle for yourself or someone else in the family, a repo is a great option. Don’t be scared away by the low prices. You’ll have to assume more responsibility, but as long as you don’t mind taking this on, you can be successful in finding a great car at a great price.