How to Document a Repossessed Vehicle When Settling an Estate in Washington

Short answer: Gather every document related to the vehicle and the repo, list the vehicle on the estate inventory, notify the lender and beneficiaries in writing, preserve evidence of the repossession (notices, police or repo company reports, payoff statements), and treat any lender claim as a potential creditor claim against the estate under Washington probate law. If the estate qualifies as a small estate, different, simpler transfer rules may apply.

Detailed answer — what to do, step by step

This guide explains practical steps to document a vehicle that was repossessed before or after a person’s death under Washington law. It assumes you are the personal representative (executor/administrator) or a family member helping to settle the estate. This is educational information only and not legal advice.

1. Confirm basic facts and preserve original documents

• Collect any written notices or letters from the lender or repo company. These often show the repossession date, location, and reason.
• Get the lender’s payoff statement, lien information, and any sale or disposition paperwork the lender provides after repossession.
• If the repossession involved a tow or police report, obtain copies of those reports (these can corroborate whether the repo was on private property or public roadway).
• Keep the vehicle title, registration, loan agreement, insurance records, and maintenance records together with repo documents.

2. Create a contemporaneous record for the estate file

• Prepare an entry for the estate inventory that includes: vehicle make/model/year, VIN, last known condition, estimated market value before repossession, whether it had a lien, the repo date, and where the vehicle went.
• Attach or index all supporting documents (repo notice, payoff figure, sale receipt from the lender, police/tow reports).
• Keep digital copies and back them up. Note the source and date you obtained each document.

3. Consider how the repossession affects estate administration

There are two common scenarios:

• Lender repossessed before death: The lender already exercised its security interest while the owner was alive. The vehicle is not part of the estate if the lender lawfully sold it free of the decedent’s ownership interest. Still, record the repossession and any deficiency balance the lender asserts — the lender may present a claim against the estate for any unpaid amount.
• Lender repossessed after death: The vehicle may still be estate property when repossessed. The repossessing party may have treated the account as in default; the estate may owe a debt. Document everything and see below on creditor claims and defenses.

4. Handle creditor claims and lender communications

• Washington probate law governs presentation of creditor claims against an estate. See Washington’s probate statutes for creditor presentation and handling: RCW Title 11, chapter 40 (Presentation of Claims) and related probate chapters at RCW Title 11 — Probate & Trust Law.
• Ask the lender for a written payoff or deficiency statement showing how it calculated any amount owed after the repossession and sale. Keep that with the estate file.
• If the lender files a creditor claim, follow the probate rules for admitting or disputing the claim. If you believe the repossession or sale was wrongful or the amount claimed is incorrect, preserve evidence and consult an attorney about disputing the claim.

5. Inventory and file required probate paperwork

• As personal representative, you must list estate assets and liabilities in the inventory required by Washington probate procedures. See RCW Title 11 for the probate framework and inventory duties.
• If the estate is being administered informally, still prepare a full inventory and make sure beneficiaries receive required notices.
• If the estate qualifies as a small estate, Washington’s small estate procedures may allow transfer of personal property without formal probate. See RCW chapter 11.62 — Small Estates.

6. Title and Department of Licensing steps

• If the lender sold the vehicle, get documentation of that sale/transfer. If the estate retains rights (for example, if the repossession was unlawful), you will need appropriate documentation to transfer title or reclaim the vehicle. State vehicle statutes and the Department of Licensing (DOL) govern title transfer. See Washington vehicle law at RCW Title 46 — Motor Vehicles and check DOL guidance.
• The Washington Department of Licensing has resources for handling a deceased owner’s vehicle. You can review DOL instructions for deceased owners on the DOL site (Department of Licensing): WA DOL — Deceased Owner Vehicle Information (DOL pages explain required forms and documentation for title transfers).

7. If you suspect wrongful repossession

• Washington follows UCC rules for secured transactions. The secured party must follow state law when repossessing and disposing of collateral. See Washington’s UCC provisions at RCW Title 62A — Uniform Commercial Code (Article 9 covers repossession and disposition).
• Document all irregularities: was notice given, was disposal commercially reasonable, was the vehicle taken from private property without authorization? Preserve records and promptly consult an attorney if you plan to challenge the repossession or sale.

8. Practical checklist to include in the estate file

• Copy of loan/retail installment contract and security agreement
• Title and registration (if available)
• Notice(s) of default and repossession from lender or repo company
• Repo company receipt and police/tow reports
• Payoff statement and post-sale accounting from lender
• Photos or record of the vehicle’s condition (if available prior to repo)
• Correspondence with lender, repo company, insurance company, and DOL
• Copies of estate inventory entries and any court filings

Helpful Hints

• Act promptly. Time limits for creditor claims and probate deadlines can affect whether a lender’s claim is allowed against the estate. Review RCW Title 11, chapter 40 on presentation of claims.
• Require written statements from the lender. Oral explanations are not enough — get payoff and deficiency figures in writing.
• Keep beneficiaries informed. Clear records reduce disputes and speed administration.
• If the vehicle was a primary asset of the estate, consider consulting an attorney early to evaluate whether formal probate is needed and how to handle lender disputes.
• Use the Washington DOL site for title and registration steps: WA DOL — Deceased Owner.
• If you suspect the repo was unlawful or the sale was not commercially reasonable, preserve evidence and seek legal counsel about potential estate claims under the UCC (see RCW Title 62A).

When to get help

If the lender files a substantial claim against the estate, if you think the repossession was wrongful, or if estate assets are complex, consult a probate attorney who practices in Washington. An attorney can help object to claims, represent the estate in court, and advise on title transfer steps with the DOL.

Disclaimer: This article provides general information about Washington law and estate administration. It is not legal advice and does not create an attorney-client relationship. For advice about a specific situation, consult a licensed attorney in Washington.