Can a Creditor Take Your Car in Florida?

A judgment creditor can seize a debtor’s vehicle in Florida through a writ of execution and sheriff’s levy. The process requires the creditor to obtain a final money judgment, identify the vehicle, and direct the county sheriff to take physical possession for sale at public auction. Florida law provides a $5,000 motor vehicle exemption under § 222.25(1), which was increased from $1,000 effective July 1, 2024. Whether a creditor will actually pursue a vehicle levy depends on the car’s equity, the cost of the process, and the practical difficulty of locating and seizing the vehicle.

The Vehicle Levy Process

A creditor cannot take a debtor’s car simply because money is owed. The creditor must first file a lawsuit, obtain a money judgment, and then pursue execution and levy as a post-judgment collection remedy. No court order beyond the judgment itself is required to initiate a levy on personal property.

The creditor obtains a writ of execution from the clerk of court and delivers it to the sheriff’s office in the county where the vehicle is located. The creditor must provide the sheriff with the vehicle’s make, model, year, color, VIN, and known location. The sheriff then physically seizes the vehicle, which may occur at the debtor’s home, place of business, or any public location.

After seizure, the sheriff stores the vehicle and advertises a public auction. The auction proceeds are applied first to the sheriff’s fees and storage costs, then to the creditor’s judgment. Any surplus is returned to the debtor. If the sale proceeds do not cover the full judgment balance, the debtor remains liable for the difference.

Florida’s Motor Vehicle Exemption

Florida protects $5,000 of equity in a single motor vehicle from creditor seizure. The legislature raised this exemption from $1,000 to $5,000 in 2024 through House Bill 29, amending § 222.25(1). The exemption applies to all creditor collection processes including levy, garnishment, and attachment.

The exemption protects equity, not the vehicle’s full market value. A debtor who owns a car worth $15,000 free and clear has $10,000 in exposed equity after applying the exemption. A debtor who owns a car worth $15,000 with a $12,000 loan balance has only $3,000 in equity, all of which falls within the exemption.

To claim the exemption, the debtor must file an affidavit with the court and the sheriff within the time period specified in the writ. Failing to assert the exemption in a timely manner can result in waiver. The creditor may contest the claimed exemption, in which case the court holds an evidentiary hearing.

The Wildcard Exemption for Non-Homestead Debtors

A debtor who does not claim or receive the benefit of Florida’s homestead exemption is entitled to an additional $4,000 personal property exemption under § 222.25(4). This wildcard exemption can be applied to any personal property, including a motor vehicle. A non-homestead debtor can therefore protect up to $9,000 in vehicle equity by stacking the $5,000 motor vehicle exemption with the $4,000 wildcard.

Bankruptcy courts in the Northern District of Florida have endorsed this stacking approach, holding that the statute’s language does not prohibit combining the two subsections. The liberal construction principle that Florida courts apply to exemption statutes supports the debtor’s right to stack both exemptions when available.

Vehicles With Outstanding Loans

Most creditors will not levy on a vehicle that carries a significant loan balance. The car’s purchase-money lender holds a first-priority security interest in the vehicle. Any buyer at the sheriff’s auction would acquire the vehicle subject to the existing lien, meaning the buyer must either pay off the loan or risk repossession by the lender.

The practical result is that auction bids for vehicles with outstanding loans are dramatically lower than the car’s market value. A $30,000 vehicle with a $25,000 loan might attract bids of only a few thousand dollars because no rational buyer wants to assume the loan obligation. After deducting sheriff’s fees and storage costs, the creditor’s recovery approaches zero.

This dynamic makes financed vehicles poor collection targets. Creditors who pursue vehicle levies typically focus on cars the debtor owns free and clear, particularly high-value vehicles where the equity significantly exceeds the $5,000 exemption.

Tenancy by the Entireties Protection

A vehicle titled in the names of both spouses as tenants by the entireties cannot be seized to satisfy a judgment against only one spouse. Florida law recognizes entireties ownership for personal property including vehicles, and a creditor holding a judgment against one spouse individually has no right to levy on entireties property.

The protection depends entirely on how the vehicle is titled. A car titled in only one spouse’s name, even during a marriage, is not entireties property and is subject to that spouse’s individual creditors. Similarly, if both spouses are jointly liable on the underlying debt, the entireties protection does not apply because the judgment runs against both owners.

When Creditors Choose Not to Levy

Vehicle levies are relatively uncommon in practice because the economics rarely favor the creditor. The sheriff’s fees, storage costs, and auction expenses can total several thousand dollars. Vehicles depreciate, and auction prices typically fall well below retail or even wholesale values. The debtor’s $5,000 exemption further reduces the creditor’s potential recovery.

Creditors generally find garnishment more productive than vehicle seizure. A bank account garnishment can freeze the debtor’s liquid cash in one step with minimal cost. Wage garnishment provides a continuing stream of payments from each paycheck. Both methods avoid the logistical challenges of locating, seizing, transporting, storing, and auctioning a physical asset.

The scenario where a vehicle levy makes economic sense typically involves a debtor who owns an expensive vehicle free and clear—a luxury car, collector vehicle, or boat that qualifies as a motor vehicle under § 320.01. In those cases, the equity above the $5,000 exemption may be substantial enough to justify the process.

Repossession by the Vehicle Lender

Vehicle seizure by a judgment creditor is distinct from repossession by the car’s own lender. A purchase-money lender who financed the vehicle can repossess it after a default without first obtaining a court judgment. The lender’s security agreement authorizes self-help repossession as long as the repossession occurs without a breach of the peace.

After repossession, the lender sells the vehicle and applies the proceeds to the outstanding loan balance. If the sale does not cover the debt, the lender may pursue a deficiency judgment for the shortfall. Florida’s Consumer Finance Act imposes additional protections for borrowers under Chapter 516 loans, including a $2,000 minimum balance threshold below which no deficiency can be pursued.

The $5,000 motor vehicle exemption under § 222.25(1) does not apply to the vehicle’s own lender. The exemption protects the debtor against outside judgment creditors, not against the creditor who holds a security interest in the vehicle itself.

Protecting Your Vehicle From Creditors

Several strategies can reduce the risk of losing a vehicle to a judgment collection action.

Maintaining a loan on the vehicle reduces exposed equity and makes the car a less attractive levy target. Titling the vehicle as tenants by the entireties with a spouse provides complete protection against individual creditors of either spouse. The $5,000 statutory exemption protects modest vehicles automatically, and debtors who do not claim homestead can stack the additional $4,000 wildcard exemption.

Debtors with high-value vehicles or vehicle collections face greater exposure. A debtor who owns multiple cars can only exempt one motor vehicle under § 222.25(1). Additional vehicles are fully exposed to creditor claims. For those debtors, broader asset protection planning that addresses the full range of collection tools—not just vehicle levies—is the more effective approach.