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 Iowa, 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 failing to make timely installment payments for personal property like vehicles or equipment, the creditor may have the right to repossess the collateral. The agreement for repossession rights is typically outlined in the security agreement signed by the debtor at the time of the purchase or lease. Iowa law requires that the repossession process be conducted without breaching the peace, which means the creditor cannot use physical force or threats of force, and cannot enter a debtor's locked premises without permission. If the creditor fails to comply with these requirements, the debtor may have a claim against the creditor for wrongful repossession. After repossession, the creditor may sell the property to satisfy the debt, but must provide notice to the debtor and conduct the sale in a commercially reasonable manner. Debtors have the right to redeem the property by paying the full amount owed before the sale. It's important for both creditors and debtors to understand their rights and obligations under Iowa's repossession laws.