Pennsylvania § 6261 - Deficiency judgment.
Full text of Pennsylvania Pennsylvania Consolidated Statutes § 6261 — Deficiency judgment., with citation guidance and answers to common questions.
§ 6261. Deficiency judgment.
(a) General rule.--If the proceeds of a resale under section 6260 (relating to sale of motor vehicle after repossession) are not sufficient to defray the expenses regarding the repossessed motor vehicle, including the costs under section 6256 (relating to buyer's liability for costs), the net balance due on the installment sale contract and the amount of accrued late charges authorized by this chapter, the installment seller or holder may recover the deficiency from the buyer or from any person who has succeeded to the obligations of the buyer.
(b) Reasonable value.--
(1) The reasonable value of the motor vehicle at the time of resale shall be determined in an action or a proceeding brought by:
(i) the installment seller or holder to recover the deficiency; or
(ii) the buyer.
(2) The resale price of the motor vehicle is prima facie, but not conclusive, evidence of the reasonable value of the motor vehicle.
(3) The determined reasonable value or the resale price of the motor vehicle, whichever is higher, shall be credited against the buyer's indebtedness.
(c) Reasonable costs.--In an action or a proceeding for a deficiency, the buyer may have the reasonableness of the costs incurred determined under section 6256.
(d) Deficiency notice.--Within 30 days after the sale of a repossessed motor vehicle, the installment seller or holder shall deliver in person or send by registered or certified mail to the last known address of the buyer a deficiency notice containing the following:
(1) The sale price of the repossessed motor vehicle.
(2) The itemized costs associated with the repossession and sale of the repossessed motor vehicle.
(3) The amount of the deficiency owed by the buyer.
(e) Nonapplicability.--Subsections (b)(1)(ii) and (d) shall not apply to a deficiency on a resale that was held prior to the effective date of this section.
Cross References. Section 6261 is referred to in section 6260 of this title.
Frequently Asked Questions About Pennsylvania § 6261
What does Pennsylvania Consolidated Statutes § 6261 cover?
Section 6261 ("Deficiency judgment.") is part of the Pennsylvania Consolidated Statutes, the codified statutory law of Pennsylvania. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Pennsylvania § 6261?
A common citation format is "Pennsylvania Consolidated Statutes § 6261" (Pennsylvania). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Pennsylvania law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Pennsylvania official source linked on this page or consult a licensed Pennsylvania attorney.
How does Pennsylvania § 6261 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Pennsylvania can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Pennsylvania.