In most jurisdictions [citation needed] outside of the U.S., self-help is limited to real estate, and otherwise the right of possession can only be enforced by a court or other official agents.
[3] Typical requirements include mandating that auto lenders provide consumers with opportunities to either "reinstate" or "redeem" their purchase or lease contracts after their vehicles have been repossessed.
If these instances do not occur and the vehicle becomes repossessed, the lien holder is required to notify the debtor of their intent to sell the property.
This is usually in the form of a letter that states that if the amount owed is not paid within ten business days, the entity officially takes ownership and may sell the property.
Some consumers believe that they are legally entitled to a "grace period" that prevents creditors from repossessing goods until the payments are a certain number of days overdue.
In reality, grace periods are non-compulsory business practices that have been adopted by most consumer lenders through a term in the lending contract.
[4] There is nothing legally preventing a creditor with a security interest from repossessing the goods if a payment is late - even if it is only one day overdue - unless the lender has agreed otherwise as a binding term of contract.
However doing so does not absolve the repossession agent's requirement to be covered under an active insurance policy for the vehicle under the applicable criminal traffic laws.
Thus, an agent who elects to do this may be subject to arrest for the violation of criminal traffic laws which apply to insurance requirements.
To avoid this liability, financial institutions will document a source (such as Kelley Blue Book or NADA) to price the collateral for sale.
[9] In Italy, repossession if possible only if an executive order by a court is issued[10] and must be performed by a special public official only (ufficiale giudiziario).