Ok, I'm selling my 93 saturn to my roommate. He wants to buy this car from me for $800, the problem is its in my Mom's name, I know she has to sign the title and everything and she's on board, that's not what I'm worried about. He wants to put 250-500 down and make payments on the rest, this is fine with me, but I dont want to hand over the title til its paid in full (I've heard a lot of horror stories) but if I let him drive it while he is making payments, and something happens, does the responsibility fall on my Mother even if we take the car off our insurance, also the reg is expired and he's payed me to get the registration renewed before we take it off the insurance, should I just give him the money back, and have him wait til he buys the car to renew it himself, and could he renew it or insure it even if he doesn't have the title in his name, I don't know what to do...he needs a car pronto so i don't want to make him wait to drive it til its all paid for...help!!!!
2007-06-25 12:27:28 · 4 answers · asked by Anonymous in Cars & Transportation ➔ Buying & Selling
Have him put down the 500, write up a contract with exact terms regarding repayment, whatever you want it to be, 100 per month for three months, 50 per month for 6 months etc. If he doesn't pay, you have a contract and you can get the remaining in court. But, worst case scenario, your out 300, and that's not really a big deal.
But at least it's now in his name, you and your mom are nowhere near it. Just make sure the bill of sale states "AS-IS" no warranty.
2007-06-25 13:04:22 · answer #1 · answered by jay 7 · 0⤊ 0⤋
If you sign the title over he can skip on the payments, if you keep it in your mothers name she is responsible for any accidents etc that could happen because it is registered to her. If the registration is expired and no insurance and is under her name big problems, and if driven like that she will be responsible for any tickets. Your call
2007-06-25 12:39:07 · answer #2 · answered by Pengy 7 · 0⤊ 0⤋
Write up a contract, with purchase, rate of interest, when payments are due and how much. Show either your mother or yourself as the lein holder on the title. When they record it it will show your name on the title and he could not sell it without paying off the lein. That way he will proceed to insure in his name and you are in the clear. Good luck.
2007-06-25 12:32:04 · answer #3 · answered by glenn t 4 · 0⤊ 0⤋
All you have to do is draw up the contract as stated above, then list yourself as the lienholder. This way you have no liability, and can take the car if he skips on the payments. (basically you are a bank)
10 yrs in the biz
2007-06-25 12:48:20 · answer #4 · answered by misty m 4 · 0⤊ 0⤋