Knowing how and when to buy repossessed cars is not difficult. There are some great deals out there. Too many people buy cars they know they can't afford, or even families find that after dad loses his job, even the minivan payments are late. Lenders are willing to work with families to help do what they can, but too many people just ignore these requests and just sit back and wait for the inevitable. The tow truck.

Repossessed cars can actually be a great deal if you know what to look for and how to buy them. Often, the owner knows full well his car is about to be taken away. Once the loan is three months past due and the owner has ignored requests to contact the lender and discuss the problem, it's only a matter of time before a tow truck shows up to take the car.

Of course, lenders want to get back as much of their investment as possible so they aren't terribly interested in expensive repairs. They might fix some minor scratches or even pull out a tiny dent, but anything under the hood is left the way it is.

The lender, however, needs to recoup as much of his original investment as possible and typically won't spend money to get the car back to its original condition. He may have it repainted, but other than, you can't be sure what you're buying without having it inspected by a mechanic.

All cars are sold with disclaimers that the buyers must sign, stating they are fully aware the car may or may not have mechanical issues. After that, you're on your own.

If the price you are paying seems too good to be true, think about it. If you can't afford what it might cost to get the car back to its original (driving) condition, you might to check out other cars there. You will find a bargain!