2007-05-03 09:31:03 · 7 answers · asked by Melanie M 1 in Cars & Transportation ➔ Buying & Selling
Contact the loan provider. They will let you know if the loan can be assumed. She should not just start paying the payments as that will not change the "owner" of the car.
2007-05-03 09:35:41 · answer #1 · answered by K R 4 · 0⤊ 0⤋
No, this CANNOT be done. Auto loans (unlike some home mortgages) are not assignable by the borrower. Read the existing loan contract and it will clearly and plainly state this.
The title cannot be transferred until the lien is released and no lienholder is going to release a lien until it's paid in full. Therefore the original borrower would remain the legal owner of the car and could take it back at will. (Any agreement between the original borrower and the "replacement borrower" would be null and void due to the superior claim of the lienholder.)
As the legal owner, the original borrower could be held liable for your daughter's actions -- parking tickets, accidents, etc.
Your daughter will have to get her own financing and the seller will have to pay off their current loan before title can pass to your daughter.
2007-05-03 10:06:48 · answer #2 · answered by Bostonian In MO 7 · 0⤊ 0⤋
The terms of the loan state if the agreement can be assumed or transferred. Another question is why is this action being taken? Is your daughter going to own the car? Is the car worth the amount that is on the note?
2007-05-03 09:39:46 · answer #3 · answered by david42 5 · 0⤊ 0⤋
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RE:A friend has asked my daughter to assume her auto loan. Can this be done and if so how?
2014-07-24 12:40:39 · answer #4 · answered by Anonymous · 1⤊ 0⤋
Lots of ways; usually it's informal with a family member taking on the payment with the promise of the title at the end.
Problem with the friend deal is that if the payment's don't get made the first person's credit can get screwed up; if the car gets wrecked there are all kinds of issues; and if they all get paid, there can be trouble getting your daughter the title.
I'd pass. If you insist. I'd either notify the bank of the details and get their apporval or have an atty draw up a contract stating the terms and conditions that fulfill it, negate it and insure it
2007-05-03 09:38:52 · answer #5 · answered by wizjp 7 · 0⤊ 1⤋
Yes depending on the lender, most likely you'll just refinance, but first thing find out what is owed and what the auto is worth, make sure it car isn't "upside down" Sometimes you can pay way more than the car is worth. so make sure the car is worth buying it for what is owed. You don't want to take over someones debt or problems
2007-05-03 09:56:56 · answer #6 · answered by S h 3 · 0⤊ 0⤋
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2015-01-27 22:03:53 · answer #7 · answered by Brande 1 · 0⤊ 0⤋
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2014-05-14 19:50:08 · answer #8 · answered by Anonymous · 0⤊ 0⤋