I Received an Exeter Finance Default Letter. What Should I Do?

"I just received a letter from Exeter Finance saying my account is in default. Does that mean they're taking my car tomorrow?"

If you received a default letter, default notice, or repossession-related notice from Exeter Finance, you may be feeling anxious and unsure what happens next.

Many consumers ask questions like:

• How long do I have?
• Can I still make a payment?
• Should I call Exeter?
• Will they come get my car today?
• What if I just started a new job?
• Can I work something out?

These are common questions, and the answers depend on your loan agreement, your payment history, your communications with the lender, and the laws that apply in your state.

This guide explains, in general terms, what a default letter may mean and what steps borrowers often consider after receiving one.

This article is for educational purposes only and is not legal advice. Every situation is different.

What Is a Default Letter?

A default letter is generally a written communication stating that the lender believes you have failed to meet one or more obligations under your loan agreement.

For many borrowers, receiving this letter is the first indication that the lender may begin exercising rights provided in the contract if the default is not resolved.

A default letter does not necessarily mean your vehicle will be repossessed immediately.

However, it should not be ignored.

Read the letter carefully and keep a copy with your records.

Should I Contact Exeter Finance?

Many borrowers choose to contact the lender after receiving a default letter.

If you do, consider:

• Writing down the date and time of the call.
• Recording the name of the representative.
• Taking notes about what was discussed.
• Keeping copies of any emails or letters.

Good records can be helpful if questions arise later.

What If I Just Started a New Job?

This is one of the most common situations.

A borrower falls behind after:

• losing a job,
• becoming ill,
• experiencing reduced income,
• or facing another financial hardship.

Then, just as things begin to improve, a default letter arrives.

Some borrowers contact the lender to explain their circumstances.

Whether any accommodation is available depends on the lender's policies, your account history, your contract, and other factors.

Does a Default Letter Mean My Car Will Be Repossessed Tomorrow?

There is no universal timeline that applies to every loan or every state.

Some borrowers receive additional communications. Others report that repossession occurs more quickly.

The timing depends on many factors, including:

• your loan agreement,
• the status of your account,
• the lender's practices,
• and applicable law.

What Documents Should I Keep?

If you've received a default letter, start gathering your records now.

Helpful documents include:

• Your retail installment contract
• The default letter
• Monthly account statements
• Payment confirmations
• Bank records
• Emails and text messages
• Notes from telephone conversations
• Any hardship documentation you provided

Keeping these documents together can make it easier to understand your account and discuss your situation with an attorney if needed.

What Happens If My Vehicle Is Repossessed?

If a repossession occurs, you may receive additional notices regarding the vehicle and the account.

Depending on the circumstances and applicable law, those notices may address issues such as:

• redemption rights,
• the planned sale of the vehicle,
• or any remaining balance that may be claimed after the sale.

Keep every document you receive.

Frequently Asked Questions

Key Takeaways

• Read every notice carefully.
• Keep copies of all communications and payment records.
• Every borrower's situation is different.
• If you have questions about your legal rights, consider seeking legal advice before making important decisions.

Need More Information?

If you have questions about an Exeter Finance loan, default letter, repossession notice, deficiency balance, arbitration provision, or another auto finance issue, Pride Law Office offers free case evaluations.

A review of your documents can help determine whether legal options may be available based on your specific circumstances.