i bought a car, traded my old one in as a down payment and filled out a payment plan, they wrote on the back of the title i dont owe anything and i got the title in the mail with my name and no lien holder, what do i do?
2007-03-27 04:55:52 · 6 answers · asked by KJ 2 in Cars & Transportation ➔ Insurance & Registration
IF there is no lienholder then the car sales has no interst in the vehicle and you can do whatever you want with it.
BUT you have a separate contract of sale that says you owe money. If you don't make the payments, while they can not re-possess the car, they CAN sue you for the outstanding amount (plus charges), obtain a judgement, and then take any assets (car, salary, house, etc..) to settle the judgement.
Bottom line: You still owe the money but received an added perk with the clear title. Don't abuse the stroke of luck.
.
2007-03-27 05:49:06 · answer #1 · answered by ca_surveyor 7 · 0⤊ 0⤋
If you have a clear title, you own the vehicle.
If on the other hand, you filled out a contract to make payments to them, you are obligated to make the payment. I'm not sure why they would put you didn't owe anything if you did, but perhaps they could explain it to you. Ask.
2007-03-27 12:12:42 · answer #2 · answered by oklatom 7 · 0⤊ 0⤋
They have made the payment plan a personal type of loan rather than a conditional sales contract. Doesn't matter, you still have to make the payments. It just means they aren't holding the car ownership up.
2007-03-27 16:32:36 · answer #3 · answered by Fred C 7 · 0⤊ 0⤋
Make your payments, that is the ethical thing to do. Just because there isn't any lien on the car, doesn't mean that you don't owe them money. They just cut you a break, so you don't have to carry full-coverage insurance on it.
2007-03-27 12:01:57 · answer #4 · answered by Ben H 5 · 0⤊ 0⤋
the car is legally 100% yours. HOWEVER. since you DID sign a payment plan the court will consider that to be a binding contract like a loan. best to ask a lawyer about all of this though
2007-03-27 12:01:21 · answer #5 · answered by Anonymous · 1⤊ 0⤋
Since they screwed up, the car is legally yours, and they cannot repossess it in connection with this transaction but you are legally obligated to re-pay your debt, and they will screw up your credit history if you don't.
One thing: when they call you and start whining, don't give up. Tell them you will pay as agreed but the concept of personal responsibility is well and alive. Keep in mind that they would NEVER let you eliminate any consequences of your mistakes.
2007-03-27 13:20:04 · answer #6 · answered by Anonymous · 0⤊ 0⤋