He has been making the payments for 6 months. I would like for the fianance company to refianance the loan so the loan for the vehicle can be put in his name. I am worried that he could stop making payments at anytime because I am not able to get in contact with him anymore and he has not contacted me in over a month. He has not missed any payments this far. What should I do? I know I made a stupid move, but I was trying to be a caring and giving Christian.We all need some help every now and then.
2007-02-13 17:37:57 · 4 answers · asked by Anonymous in Business & Finance ➔ Credit
Call the bank where the loan is coming from. Ask them what you should do. I did this and even if you sell him the car YOU WILL STILL HAVE TO MAKE THE MONTHLY PAYMENTS UNLESS HE PAYS U IN FULL FOR THE AMOUNT U OWE THE FINANICAL COMPANY. If you miss a payment and the car gets repossessed then your credit is ruined for the next 7 yrs you can't get anything NO credit cards, no loans, no mortage, no nothing. You will be screwed for the next 7yrs if that happens.
Side Note:
At least he is paying it and not screwing you. Make sure you find out where he is currently living before you get screwed.
2007-02-13 17:45:27 · answer #1 · answered by TheQueenOfLA 3 · 0⤊ 0⤋
What you did is the craziest thing you could ever do. Chances are your friendship will one day break over this. Never mix business with friendship. The Christian thing to do would have been to pray for your friend and teach them how to earn a better credit rating that would enable them to get a car loan. There is a good reason why no lender would offer your friend a car loan: your friend is untrustworthy! Why would you want to trust him with finances, when the banks and lenders don't?
Now that you realize what a crazy mistake you made, ayour best option would to make one complete full payment of the whole loan. Afterwards, sell the car at the what the loan cost you. If he refuses to buy it from you, you can legally repossess the car from him, because it would legally belong to you. If you couldn't get him, you'd be forced to file a police report to state that your car is stolen.
Alternatively, you could refinance, but, you would still have to make monthly payments for a while. Either way, you just made one of those catastrophic, financial mistakes, unless of course you are independently wealthy. Still, you put your credit rating on the line. I'm sure you've learned and will make better financial choices in future.
2007-02-14 01:52:38 · answer #2 · answered by Muga Wa Kabbz 5 · 0⤊ 0⤋
You've already been given some good advice on what to do about the loan. Here's something else to think about. Even if he continues to make monthly payments on time until the loan is paid off, the car is in your name and legally belongs to you until that time. If he is in an accident and is found at fault, anyone else could come after you for damages. Are you making sure he keeps current insurance?
2007-02-14 02:00:06 · answer #3 · answered by Brian G 6 · 0⤊ 0⤋
Try and locate your friend and see if they can qualify for a loan in their name only. That is about the only thing you can do to get out of this obligation.
Good luck, I know your heart was in the right place.
2007-02-14 01:54:22 · answer #4 · answered by frenchdoll 2 · 0⤊ 0⤋