Can I get my vehicle back by paying before it is sold at auction?
Last updated: 2026-07-11 · Educational content; not legal advice.
Short answer
Yes — you have an equity of redemption before the foreclosure sale. The Chattel Mortgage Law (Act No. 1508, Sec. 13) provides that when the condition of a chattel mortgage is broken, the mortgagor 'may redeem the same by paying or delivering to the mortgagee the amount due on such mortgage and the reasonable costs and expenses incurred by such breach of condition before the sale thereof.' So after the vehicle is repossessed but before it is auctioned, you can recover it by paying the arrears plus reasonable costs. The law also builds in a window: the mortgagee may sell only after thirty (30) days from the time the condition is broken, and must post at least ten (10) days' notice of the auction (Sec. 14) — time you can use to redeem. This is different from trying to get the vehicle back after it has already been sold.
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Frequently asked
How much do I have to pay to redeem?
Under Sec. 13, the amount due on the mortgage plus the reasonable costs and expenses caused by the default — not necessarily the entire remaining balance if the whole loan has not validly become due. Ask for an itemised statement.
Until when can I redeem?
Until the property is actually sold. The Chattel Mortgage Law bars a sale until 30 days after the condition is broken and requires 10 days' posted notice of the auction, so demand to know the scheduled sale date and redeem before it.
They refuse to let me pay and just want to sell it.
Put your redemption offer in writing with proof of your ability to pay the arrears and costs, and keep it. A refusal to honour a valid redemption can support a complaint and, for an SEC-registered financier, an RA 11765 filing.
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