Repo Companies' Storage Charges for Personal Property Are a Ripoff
When cars are repossessed, the owners' personal property is removed from the cars and stored by the repo company. The California Business & Professions Code requires repo companies to send the owner an inventory of the goods and a disclosure of charges for the storage. However, there is no law governing the amount of money the repo companies may charge for storage of goods.
Unfortunately, some repo companies are taking advantage of owners by demanding excessive fees for storage. For example, H & H Recovery in Livermore, CA recently demanded $30 a day plus a $50 admin fee to store some papers and goods that would fit in a garbage bag. The owner got the run-around for a month trying to get his papers and goods back. The company demanded over $900 to get the goods back. Charging rental car rates for storing a quantity is goods is unconscionable. The owner is considering legal action at this time.
