An auto loan usually carries with it a chattel mortgage,giving the bank a claim against the property covered by the loan.

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This is because a chattel mortgage is a type of legal agreement in which the lender (in this case, the bank) is given the right to take possession of the property (i.e. the car) if the borrower fails to repay the loan. Therefore, in an auto loan, the bank typically holds a chattel mortgage over the car, which gives them a legal claim against the property.

An Auto Loan Usually Carries with It a Chattel Mortgage,giving