Can Police Seize A Financed Car?

Almost everyone loves cars irrespective of age and class. There are numerous reasons why people want to own a car. There is this uniqueness about cars that makes everyone dream of having one.

Some would include earning a living from it or for a pleasure trip. Nonetheless, you would need money to get a car, even if you want to be making a living from it. How, then, do I get money to purchase a car when I can’t even provide some basic stuff for myself?Can Police Seize A Financed Car

That is where financing a car comes in. A financed car means a car that is purchased on loan to be repayed over time. Moreover, there are many challenges and questions concerning financed vehicles. We will do our best to give detailed answers to these questions in this article.


Can Police Seize A Financed Car?

One of the questions people often ask about financed cars is whether the police authority has the right to seize them, knowing fully well that the vehicle does not technically belong to them.

Before we continue you should understand that there is a clear difference between a seized car and an impounded car. For a crime that is considered minor the vehicle could be impounded and towed away untill a fee is payed.

Now Can Police Seize A Financed Car? The answer is Yes. The police can seize a financed car. They have the right to confiscate any vehicle they believe has been involved in serious criminal activity which involves thorough investigation.

However, there can be complications concerning the payment issues if the police seize a financed car. Often, the police will consider selling the vehicle to an insurance company at a police auction and then give the funds to the lender.

If there is any outstanding debt remaining, you will be the one to settle it. In a nutshell, the police can seize your financed car if it warrants so, and that may cause you not to lay claim to the car long after it was lost.

What Happens If A Financed Car Is Impounded?

This is a critical question to answer and may need advice from a legal practitioner. In most cases, it depends on your agreement with the financed company or the individual lending you the car.

When a financed vehicle is impounded, the police will have to inform the finance company or individual about the seizure, even without your consent. If you probably do not get your time out quickly and it is disposed of, you may not get anything from it, but you will still be responsible for any outstanding debt.

Sometimes, the financed company might opt to get it back for you (if they have the right to do so) with the condition that the cost will be added to your loan.

Also, a failure to notify the financed company about the situation and get the car released on time might incur extra legal charges for you.

Does Impounded Car Affect Credit score?

Although an impounded car does not in anyway have a direct effect on credit or your credit score, but the main problem lies with your inability of paying off the impound.

Indeed, an impounded car affects your credit. Impound fees increase day by day.

However, paying off the collection fees would be helpful to you in some ways. For example, you might get sued for not getting the fee paid off, and your account will get frequently updated by the financed agency.

What Power Does The Police Have To Seize A Car?

Police officers have the legal power to seize a car, especially if the reason is believed to be genuine enough. Many reasons can make police impound your vehicle. Some include when the driver does not hold the required document of the car or does not meet the conditions for maintaining a valid driving license for that car type.

Also, the police can seize any vehicle suspected of being involved in a criminal case or used in a way that causes distress until the issue is resolved. For example, if the police stop your car and perceive marijuana or drug in the car, he has the legal right to search the car if such is in your car.

If he finds that there is illegal substance in the car, then he has all legal right to seize the vehicle. However, there are some cases where police do not have the right to arrest or take a car. For example, the police do not have the right to seize a car because it was involved in a traffic stop.

What Happens To Cars Seized By Police?

It is dependent on the circumstances that occurred before the police seized the car. Generally, the vehicle will be taken to an impound site closest to the police station. If you want to recover your vehicle, you must go to the nearby police station within seven working days in which the car was seized.

How Long Can The Police Keep Your Car?

Assuming a police officer has impounded your car for some legal reasons such as not driving with a driver’s license or registration or being involved in a criminal case, among others, the police can hold your car for as long as they are being instructed by local authorities to keep your car.

There is no specific time to which the police can keep a car under investigation. Let’s say you can get your car seized for a month or more, and they can keep your vehicle for a reasonable amount of time. It all depends if it is necessary to keep your car for that long. Most times, your vehicle won’t be delivered to you until the police and the local authorities have finished conducting their investigation.

Can You Get A Seized Vehicle Back?

Yes, you can get your seized car back, but it depends on why it was held. Most times, if the vehicle was held and the owner wasn’t the one driving at that instance, you can get the vehicle back depending on whether the driver is innocent of the crime or whatever would have made them seize the car. You will have to call the police to know what further steps to take.

If the driver is guilty of the accusations, you may have to face the necessary legal actions for the offence leading to the car’s seizure.


In a nutshell, the police can seize a financed car if they suspect any case of crime, and they have the legal right to do so. However, you can get them back and any of your seized property back if you are found not guilty.

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