There are laws in New Jersey that strictly regulate the repossession and resale of repossessed automobiles.  The most common misunderstanding is that a finance company is required to give notice of a repossession.  This is not true on purchases but is true on leases.  The finance company is required to give notice of the amount due and the date of the sale of the vehicle to give the consumer a chance to buy the car.  The vehicle must be resold in a commercially reasonable manner.  After the car is resold the finance company has the right to sue the owner for the amount due on the loan, but the finance company is required to provide an accounting of the finances of the sale and the amount due for the subject vehicle.  If the consumer is sued the only real defense is a breach of warranty defense that the car was not working properly or in violation of any applicable warranties-express or implied.