Tag Archives: repo vehicles

BMO Harris car repo

Purchasing a Repo Car from BMO Harris

BMO Harris has more than 12 million customers that count on them for personal and commercial banking, wealth management and investment services. They are the 8th largest bank in North America, based on assets. The bank takes great pride in helping customers make the most of their money. 

With millions of customers, there will always be some who default on their loans. This sometimes happens with auto loans. 

BMO Harris Auto Loans 

When purchasing a car, a buyer may have to put some money down to cover the down payment and title fees, but they can finance the rest of their purchase. What some people don’t realize is how expensive car payments can be, especially once the interest rates are added on. 

Here is some basic information on BMO Harris auto loans. 

  • BMO Harris will finance cars, motorcycles, boats and RVs. 
  • Auto loan amounts start at $5,000 and go up to $30,000.
  • All loan products have fixed APRs that range from 4.8% to 7.11%.
  • Maximum loan terms are 72 months.
  • Loan origination fees are up to 1% of the loan amount.
  • Borrowers are charged late fees. 

When Auto Loan Borrowers Default 

When taking out a loan, the borrower agrees to pay it back according to the loan agreement. If, at any time, they can’t make the loan payments, the loan will go into default and the car can be repossessed. Usually, it only takes a few months for this to happen, as the bank isn’t going to continue losing money every month. 

Once the vehicle is repossessed, it is usually sold at an auction. Everyday people can bid on the vehicle, though dealerships are good at picking up decent cars and reselling them at a higher price. This is why it’s best to buy repossessions directly from the bank, as you don’t want to buy a repo with a price markup. 

Where to Find BMO Harris Repo Cars 

The best way to find repossessions from BMO Harris is by visiting their site directly. Being a large bank, their inventory changes often. Visit RepoFinder.com and click on the state you live in. You can then search for BMO Harris’ inventory of repo vehicles. Also, because BMO Harris provides financing for motorcycles, boats and RVs, you can also find these vehicles for auction. 

Currently, BMO Harris is only in ten states: Arizona, Florida, Illinois, Indiana, Kansas, Minnesota, Missouri, Nevada, Washington and Wisconsin, so do keep this in mind. You always want to be able to see the car before buying, so shop only as far as you’re willing to drive. 

buying an as-is car

Buying a Used Vehicle: What Does “As-is” Mean?

When you purchase a used vehicle that is marked in “as-is” condition, it means you are agreeing to buy the car in its current condition. If there are repairs that need to be made, you will be responsible for them. Repossessed cars are typically sold in “as-is” condition. If you are considering a repo car, it’s important to understand this term in its entirety. Repos can be great purchases as long as you know what you’re getting into. 

Let’s learn more about what “as-is” means and protective steps you can take. 

What You Get with an As-Is Car Purchase

When buying a car “as-is,” you get the vehicle in the condition that it’s currently in. Usually, the seller will sell the car “as-is” with no warranty. This lets the buyer know they are buying the vehicle without any warranty coverage. So, if you are driving home and the transmission fails, the seller is under no obligation to take back the repo or make repairs. 

Not having this peace of mind makes some people uncomfortable with a repo purchase, but “as-is” doesn’t mean that the vehicle is in poor condition. In fact, many repos are high-quality cars in great condition – their owners just couldn’t afford them anymore. As long as you have the vehicle checked out by a mechanic, don’t let “as-is” scare you away. 

Buying an As-Is Repo Car 

In order to buy an “as-is” repossession, you should take a few steps to protect yourself. It may be harder to get a history report on the vehicle, and it’s possible that the lender won’t know anything about it. Still, it doesn’t hurt to ask. Any information about the repo is helpful in knowing what work may be needed. 

Before making an offer, ask the lender if you can see the vehicle. Reputable sellers encourage this. Bring along a mechanic who will inspect the vehicle to uncover unknown problems. If there are issues found, you can either pass on the repo or negotiate a lower price. 

At the end of the day, being open to “as-is” vehicles is a great way to get a good car at a decent price. You just have to be willing to do your homework and bring along a trustworthy mechanic for an inspection. For a full list of lenders, banks and credit unions selling repossessions in your area, visit RepoFinder.com

credit score before buying used car

What Credit Score Do I Need to Buy a Used Car?

Whether you buy a new car, used car or repossessed car, you’ll need to pay for the vehicle before you take it home. Unless you have the cash upfront, you’ll have to take out a car loan. One of the biggest predictors in the type of loan you get and the interest rate you pay is your credit score. Knowing how important this three-digit number is, what do you need to get a decent used-car loan? 

Average Credit Scores for New and Used Cars 

According to a 2017 Experian report, the average credit score for a new-car loan was 713 and 656 for a used-car loan. A repossession is no different than a used car in the eyes of a bank. But, it’s your responsibility to do your homework. A used car from a dealership might have a warranty, but a repossession will not (unless it’s from the manufacturer). If you take out a loan for a repo and it ends up not running, you are still responsible for paying back the loan. 

So, what happens if you don’t have the average 656 credit score? You can still get a loan, but you can expect to pay more in interest rates. Someone in the low 700s might see interest rates of 5%, while someone in the low 500s might see 15%. Also, the state you live in makes a difference, as some states give higher insurance rates to those with poor credit. 

To break things down, here is a chart of credit scores vs average APRs on new and used vehicles, courtesy of Experian. 

Credit score Average APR, new car Average APR, used car
Superprime: 781-850 3.68% 4.34% 
Prime: 661-780 4.56% 5.97%
Non Prime: 601-660 7.52% 10.34%
Subprime: 501-600 11.89% 16.14%
Deep subprime: 300-500 14.41% 19.98%

Before You Start Shopping

One of the benefits you have when buying a repo car is the financing. When you purchase a repo directly from a lender or credit union, they are willing to work with you on the financing. They are banks, after all, and they make money by lending money.

Because it can take time to find the perfect repo car, use this period to check your credit profile and make improvements. You can request a copy of your credit report from the three major credit bureaus – Equifax, Experian and TransUnion – once a year. Visit AnnualCreditReport.com or call 1-877-322-8228. 

Once you know what your score is, you can get a realistic idea of what interest rates you will be paying. If you have to delay your repo car purchase, bring your credit score up by doing the following: 

  • Pay your bills on time
  • Avoid applying for new credit
  • Keep credit card balances low relative to your limits
  • Leave old accounts open 

For a complete list of repossessed cars, trucks, ATVs, RVs, boats, etc., visit RepoFinder.com today. Our list includes banks, lenders and credit unions that have repossessed vehicles and are willing to work with the public to sell cars and provide financing.

buying repo from a bank

Why You Should Buy Repo Cars Directly from a Lender

When buying repossessed vehicles, you have a number of ways to purchase them, such as from a lender auction, used car dealer or reseller service. However, the best way to buy repo cars is directly from a bank or credit union. Lenders just want to recoup their losses, so they’re willing to work with buyers and give them a great deal. 

Below are a few reasons why it’s best to purchase repossessions from a bank or credit union

Banks are Motivated Sellers 

A car owner only needs to miss a few payments before their car is repossessed. Lenders rely on interest to make profits, so a car payment that isn’t being made is an immediate loss. If the bank can’t work with the owner to get paid, they will repossess the vehicle and recoup their losses. 

With this in mind, banks are very motivated sellers. Some will allow you to look at their repo file, which lists repo cars, trucks, ATVs, RVs and more. The lists are free, unlike resellers that often charge for this service. Also, the lender will not clean up the vehicle as the dealerships do, so you can keep your price tag to a minimum.

Financing is Easier (and Cheaper!) 

Another perk to buying a repossessed car or truck from a lender is that you can get quick financing, especially if you already have a relationship with the bank. Remember, the banks aren’t looking to make a profit. They just want to recoup their loss and move on. Banks make money by lending money, and this puts you in a great position. 

For example, banks often incentivize repo sales with longer loan terms and reduced interest rates. Additionally, there are no commissions or fees when buying directly from the bank. The transaction takes place between you and the bank – no middleman. 

The Selection is Higher Quality 

Trashed repossessions typically go straight to auction. The banks won’t waste their time with them. This means that the lender’s list of repos should be decent. In fact, it’s not uncommon to find nearly new repossessions on the list. Sometimes, brand-new car owners can’t afford their payments, and their shiny new car gets repossessed. 

Also, repossessions are not limited to cars and trucks only. You can also find a great selection of boats, airplanes, yachts, ATVs, RVs, farm equipment, airplanes and even homes! 

Are you ready to buy a repossession from a local bank or credit union? There’s no need to spend hours on the internet looking for repo lists. RepoFinder.com offers a directory of banks selling repossessions in all 50 states. The service is completely free for you to use – no fees, no commissions and no transaction costs. Check us out today and find a repossession that fits your needs and budget. 

repossessed vehicle great value

5 Ways to Tell You’re Getting a Good Repo

Buying a repossession is a lot like buying a used car, except it is an “as-is” purchase. There is no warranty from the dealer, so you absorb whatever problems the car has. This is why repos are hundreds to thousands of dollars less than other vehicles. 

Even though there are significant cost savings upfront, you don’t want to end up wasting your money. So, how can you determine that the repossession you’re looking at is actually a good deal? Below are five signs to look for.

  1. You’re buying a repo from a bank or credit union.

Where you buy your repo from makes a big difference. We recommend working with lenders because they have the best prices with no added fees or commissions. Plus, you can often get attractive financing offers directly from the bank. Lenders are also transparent with pricing and bidding. 

  1. You can do an inspection. 

You should always ask to see the repo before you make an offer. Again, when you work with a reputable seller, an inspection shouldn’t be a problem. If you don’t know a lot about cars, bring along someone who does. They can look over the repo and make sure it’s a good value. 

  1. The repo has a title. 

You should never buy a vehicle without the title. If a repo doesn’t have a title, there’s no telling who really owns the car. You could pay for it, and the owner could claim ownership later on. What you don’t get with a repossession is a warranty from the dealer. But, a repossession does not change the title or manufacturer warranty. 

  1. You know where it came from.

It’s not always possible to know where a repossession came from. However, if the bank can tell you some information about the vehicle, it’s in your favor. Depending on the circumstances, the lender may know the condition of the repo, a little bit about the history and the area it came from. This information, coupled with an inspection, can give you greater peace of mind. 

  1. You feel good about the purchase. 

If you feel that you’ve found the right repo car, make an offer! Don’t be afraid to negotiate or offer a lower price, especially if you want financing from the bank. On the other hand, if you don’t feel confident, you should wait. There are tons of repossessions, with new ones being listed daily. There is no reason to buy something you’re unsure of. 

It is possible to find a clean repossession in good working condition at a great value. For a convenient list of banks and credit unions with repo lists in your area, visit RepoFinder.com today.