In the event that the debtor is unable to either reinstate or redeem the automobile or other property, a repossessed car will be sold through a bidding. The property will be auctioned off, and dealers will be invited to the event. It is part of the lender's responsibility to inform the borrower of the date, time, and place of the bidding.

Repossession is the act of taking back or collecting a property or an object (usually used as collateral) from an agreement that was not fulfilled. This type of repossession is also known as the “self-help repossession” as the seller or lender may just help himself to the consumer’s properties because the consumer has authorized it.

When an individual applies for a secured debt, the lender requires that a certain piece of property, also known as collateral, serve as payment for the loan. In the event that the loan is defaulted due to the borrower's inability to pay, the property is then confiscated, or repossessed.

It is definitely possible to stop the sale of the property if the consumer can come up with the full amount to pay off what is owed. The lenders only wanted to collect the amount owed them anyway. If paying off the lenders suddenly became an option, the consumer should quickly apply for an injunction to stop the sale.  However, if the lenders have already found a buyer, and contracts were already exchanged, then the consumer is not going to be able to stop the sale.

Repossession occurs when an item put up as collateral for a particular loan is confiscated by the original lender because of the borrower going default on it. This process typically and most commonly applies to motor vehicles, such as cars, boats, and motor homes, although smaller items such as appliances or furniture can also be repossessed. The debtor may be able to get back the property through a series of processes, which will be elaborated later on. If he or she is unable to do so, the item would be sold or auctioned, and the proceeds would be used to pay off the remainder of the loan.