Repossession of property is the process by which a creditor recovers possession of the property when the debtor defaults on the debt by failing to make the required installment payments on time. Repossession is often used by a creditor who has extended credit to a debtor for the purchase of personal property, such as a motor vehicle, boat, machinery, equipment, tools, artwork, jewelry, or rent-to-own furniture or electronics.

The creditor’s right to repossess the property usually comes from the credit financing agreement the debtor signs when purchasing or renting-to-own the property.

Laws governing creditor and debtor rights and obligations—including the right to repossess property—vary from state to state and are usually located in a state’s statutes—often in the state’s adopted or enacted version of Article 9 of the Uniform Commercial Code, governing secured transactions.

In Arizona, repossession of property is governed by the state's version of Article 9 of the Uniform Commercial Code (UCC), which regulates secured transactions. When a debtor defaults on a secured debt, such as an auto loan or a rent-to-own agreement, the creditor has the right to repossess the collateral property without judicial intervention, provided the repossession is conducted without breaching the peace. This means the creditor or their agent can take back the property as long as they do not use physical force or threats, and do not enter a locked or private area without permission. After repossession, the creditor must provide the debtor with a notice of their rights, including the right to redeem the property and the right to receive a public or private sale notification, if applicable. If the property is sold, the debtor may be liable for any deficiency—the difference between the sale price and the remaining loan balance. It's important for debtors to understand their rights and obligations under the credit agreement and Arizona law, and they may wish to consult with an attorney for specific legal advice if facing repossession.