During the mortgage period, if the owner of the mortgaged vehicle has no possession of the vehicle and drives it away without authorization, and violates the mortgage contract, he shall bear the corresponding civil liability for breach of contract according to his fault.
Mortgaged car belongs to the subject matter of normal mortgage lien procedure. As long as it is a regular pawnshop or a qualified interest organization, it is illegal for the original owner to drive the car away. You can call the police or protect your legitimate rights and interests through prosecution.
Consequences of non-repayment of loans:
1. If it is really unable to repay, it shall negotiate with the lending institution to extend the repayment period or repay it in installments;
2. If the lending institution fails to perform the judgment of the court within the performance period after suing the court and winning the case, it will apply to the court for enforcement;
3. When accepting enforcement, the court will inquire about the real estate, vehicles, securities and deposits under the name of the lender according to law;
4. If the lender refuses to perform the effective judgment of the court because there is no enforceable property under his name, negative information such as overdue repayment will be recorded in the personal credit report, which will restrict high consumption and entry and exit, and may even lead to judicial custody.
Legal basis:
Article 388 of the Civil Code of People's Republic of China (PRC)
To establish a security interest, a security contract shall be concluded in accordance with the provisions of this Law and other laws. Guarantee contracts include mortgage contracts, pledge contracts and other contracts with guarantee functions. The guarantee contract is a subsidiary contract of the main creditor's rights and debts contract. If the principal creditor's rights and debts contract is invalid, the guarantee contract is invalid, unless otherwise stipulated by law.
Article 394 of the Civil Code of People's Republic of China (PRC)
In order to ensure the performance of the debt, if the debtor or a third party mortgages the property to the creditor without transferring the possession of the property, if the debtor fails to perform the due debt or realize the mortgage according to the agreement of the parties, the creditor has the right to be compensated in priority for the property. The debtor or the third party specified in the preceding paragraph is the mortgagor, the creditor is the mortgagee, and the property that provides guarantee is the mortgaged property.
Article 401 of the General Principles of the Civil Law of People's Republic of China (PRC) * * * The mortgagee and the mortgagor agree that when the debtor fails to perform the due debts before the expiration of the debt performance period, the mortgaged property belongs to the creditor, and only the mortgaged property can be paid in priority according to law.
Article 406 of the Civil Code of People's Republic of China (PRC) * * * During the mortgage period, the mortgagor may transfer the mortgaged property. Unless otherwise agreed by the parties, such agreement shall prevail. If the mortgaged property is transferred, the mortgage right will not be affected. Where the mortgagor transfers the mortgaged property, it shall promptly notify the mortgagee. If the mortgagee can prove that the transfer of the mortgaged property may damage the mortgage right, he may require the mortgagor to pay off the debt or deposit the proceeds of the transfer to the mortgagee in advance. The part of the transfer price exceeding the amount of creditor's rights belongs to the mortgagor, and the insufficient part is paid off by the debtor.