Call them up and make payment arrangements, however you might be liable for the repo fee. You have options as long as you have the vehicle.This article covers how vehicle repossession works in New York state and what your rights are as a New Yorker. Complete this form and bring it with the license plates, if any, to any Motor Vehicles office. If someone is financing their car through the dealership and they stop making payments, what can happen to that person's vehicle (repossession)? Repossession occurs when your lender seizes this asset because you defaulted on what you owe. Cars are the most commonly repossessed assets. Generally, cars are repossessed once payments are 90 days in default. Just don't expect lenders to give you a heads-up when the Repo Man will come calling. Even if you successfully complete a voluntary repossession, the payments you missed on the auto loan will still appear on your credit report.