Alberta Vehicle Repossession Laws: Creditor Rights & Debtor Protections

Vehicle Repossession in Alberta

Under Alberta's Civil Enforcement Act and Personal Property Security Act, secured creditors have specific repossession rights and procedures.

Grounds for Repossession

• Default on loan payments
• Debtor abandons vehicle
• Insurance lapses (creditor may insure at debtor's cost)
• Debtor waived repossession rights in contract

Notice Requirements

• Standard: 10 days after written notice of default + intent to repossess (if debtor retains possession)
• Concealment/Removal: 5 days after notice if debtor hid/removed vehicle from Alberta to avoid repossession

Prohibitions

• No repossession during declared "period of economic distress" (government order)
• No breach of peace (force, threats, entering locked garage without consent)
• No repossession if debtor cures default within notice period

Post-Repossession

• Creditor must send notice of disposition (sale) within reasonable time
• Sale must be commercially reasonable
• Debtor liable for deficiency (sale proceeds < debt + costs)
• Debtor entitled to surplus (sale proceeds > debt + costs)

Debtor Rights

• Reinstate by paying arrears + costs before sale
• Redeem by paying full balance + costs before sale
• Challenge improper repossession in court

Consult a licensed insolvency trustee or lawyer for specific situations. Alberta's laws balance creditor security with debtor due process.