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 Maryland, 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 loan by failing to make timely payments, the creditor has the right to repossess the collateral, such as vehicles, boats, or other personal property, as specified in the security agreement. The creditor does not need to go to court to repossess the property, but they must do so without breaching the peace, which means no use of physical force or threats, and no breaking into a locked area. If the creditor breaches the peace during repossession, they can be held liable for damages. After repossession, the creditor may sell the property to satisfy the debt, but they must notify the debtor of the sale and conduct it in a commercially reasonable manner. If the sale proceeds are insufficient to cover the debt, the creditor may seek a deficiency judgment against the debtor for the remaining amount. Debtors have rights under Maryland law, including the right to redeem the property by paying off the debt before the sale, and they may challenge the repossession if they believe it was conducted unlawfully.