Mississippi Administrative Code › Title 5 - Banking and Consumer Finance › Part 3 - Consumer Finance Activities › Chapter 4 - Mississippi Title Pledge Act › Rule 5-3-4.3 - Sale of Repossessed Vehicle

Current through June 25, 2024
1. Licensee must
				maintain a repossession log or separate record of all repossessed vehicles.
				Such record must include the customer's name, vehicle information (including
				make, model and VIN number), date of repossession, date of sale, name of
				purchaser, amount of sale or payment, and method of payment by purchaser.
				Licensee shall maintain supporting documentation of each sale by a cash ticket
				or a financing agreement.
2.
				Documentation shall be maintained on all repossessed vehicles that are sold
				indicating the value of each vehicle. Such documentation shall include a
				written condition report and at least two (2) photographs depicting the
				condition of the vehicle. In the event a licensee finances a vehicle they have
				repossessed, the licensee must comply with the rates authorized by the
				Mississippi Motor Vehicle Sales Finance Law. Such sale shall not be executed on
				a Title Pledge Agreement.
3. In the
				event a licensee declares a vehicle to be salvage pursuant to Section
				75-67-411(5),
				Mississippi Code of 1972, as amended, licensee must obtain a "junk certificate"
				from the Mississippi Tax Commission pursuant to Mississippi Title Law
				Regulation 51 (a) (4) which is defined as "an administrative letter issued by
				the Tax Commission for a vehicle which has been scrapped, dismantled or
				destroyed and the owner has surrendered the Mississippi Certificate of Title to
				the Tax Commission in accordance with Section
				63-21-39,
				Mississippi Code of 1972, as amended ." A copy of the required documentation
				and "junk certificate" shall be maintained in the customers file folder. The
				value received from the sale of any salvage shall be evidenced by a bill of
				sale or cash ticket and applied to the customer's account balance.
4. For repossessions that are not declared
				salvage, licensee shall maintain a record that includes: balance owed plus
				service charge calculated up to the date of repossession; repossession fee that
				consists of actual towing and storage charges paid to an unrelated third (3rd)
				party; charges paid to an unrelated third (3rd) party for repairs to make
				property operable; the allowed one hundred dollar ($100.00) sales fee; to whom
				sold; and the amount of sale. Licensee must maintain a copy of all
				bills/invoices for any charges paid to a third party in the customers file
				folder. To verify amount of sale, licensee must obtain two (2) bids on vehicles
				less than ten (10) years old or a receipt from an auction seller indicating the
				amount received from the sale. For vehicles that are not sold at an auction and
				are ten (10) years old and older, licensee must have at least two (2)
				photographs depicting the condition of the vehicle and any other documentation
				to support the value of the vehicle.
Miss. Code Ann. §
										75-67-405;
				  Miss. Code Ann. §
										75-67-407;
				  Effective date December 15, 2003