Can a car be repossessed for late fees only?

It is generally not possible for a car to be repossessed solely for late fees. Repossession is typically a last resort for lenders when borrowers have repeatedly missed their monthly payments. Late fees are typically considered to be a breach of contract, but they do not usually rise to the level of default that would justify repossession.

However, it is important to note that the specific terms and conditions of a loan agreement can vary. In some cases, lenders may include a provision in their loan documents that allows them to repossess the vehicle if the borrower fails to pay any amount due under the loan, including late fees. This type of provision is more likely to be found in subprime auto loans, which are made to borrowers with poor credit histories.

If you are concerned about the possibility of your car being repossessed for late fees, you should review the terms and conditions of your loan agreement carefully. If you have any questions about your rights and obligations under the loan, you should speak to an attorney.