How to Buy Bank Repossessed Cars for Sale
Purchasing a bank repossession is a way that a used car buyer can save some money. Banks repossess cars and other vehicles from borrowers who cannot pay back the loan in a timely manner. The bank must sell the repossessed vehicle for as much as possible to help reduce the amount of the loss on the loan.
- Contact the bank that has the car repossession and ask to speak with whoever is in charge of selling the vehicle. This may be the bank’s repossession manager or a loan officer. Find out how many miles are on the car, and ask how long the bank has had the car in their repossession inventory.
- Arrange a time to meet the person in charge of the repossession if you think you may want to purchase the car. Check the value of the car before your visit by looking online for used car pricing websites. Make a note of the car values so you have a guide to help you make an offer.
- Meet with the banker to inspect the repossession. Drive the car to see how it handles and verify the mileage. If the car is hard to handle, it may need some repairs. Ask the bank to have a mechanic inspect the car if you want to make an offer but are unhappy with the way it drives.
- Check the interior and exterior of the car for damage. Many repos are not in good condition once the bank takes the car back from the borrower. If the bank needs to repair any damage, either ask for a reduction in the purchase price or have the bank repair the car before you make an offer.
- Consult the online used car report and make the bank an offer to buy if you like the condition of the car. If the banker makes a counteroffer, decide if you want to accept it or make another offer that is lower than the banker’s. Finalize the purchase price and ask the banker to help you with the financing if you are not paying in cash.