my uncle made a huge favor for his daughter coz she needs a car but she wasn't approved. she promised to pay the monthly dues. so the escalade was brought under my uncle's name but now he wants to transfer ownership to her name but the car hasn't been fully paid yet...can he do it? if not...is there a way to do it?
the reason is that his daughter has been giving him headaches and hasn't been paying for the car's monthly dues for 6 months now and since it's under my uncle's name, he can't do anything but pay for it to retain a good credit standing. he really wants his 30 year old daughter to be responsible ... pls help my uncle!!!
ps. is trade-in an option if this is not possible? how? thanks!!!
2007-11-20 22:59:03 · 8 answers · asked by Kristine 1 in Cars & Transportation ➔ Insurance & Registration
the escalade is under my uncle's name. his daughter promised to pay the monthly dues. i remember she used to drive a vw beetle but i dunno if it was also under my uncle's name too. anyway, can he trade this car into another brand and just put her name on the contract? abt allowing the company to repossess the vehicle, is it a fact that if it was sold under the actual price, my uncle will have to pay for the remaining balance even if the car is with someone else already?
this has been giving him painful headaches...he is currently in alaska while the car and his daughter is in vegas. i was hoping to give him info asap so he can make concrete decision and fly to vegas...pls help! and thank you for your immediate responses! Happy Thanksgiving in advance!
2007-11-20 23:23:35 · update #1
my mistake, i meant "if the vehicle was sold BELOW (not under) the actual price" - about repossession in my additional statement above. sorry!
2007-11-20 23:29:30 · update #2
The lien holder would have to release the lean on the title before it can be transferred into another name. Which means that the loan would have to be paid off before they would release the title.
The vehicle can be traded in on another less expensive vehicle (a down trade). The lien has to be disclosed to the seller. The seller would payoff the loan and deduct that amount from the value of the vehicle. In many cases the loan balance exceeds the value of the vehicle which presents a new problem.
If he is able to trade down to a less expensive vehicle without taking another loan he should title the vehicle in his daughter's name and list himself as the lien holder on the title. This way she cannot sell the vehicle without paying him back, and it releases his liability in the vehicle when she is the driver.
Good Luck!!
2007-11-22 06:54:53 · answer #1 · answered by Deb W 5 · 0⤊ 0⤋
First of all why did he by her an Escalade? That it itself is why she wasn't approved. She should have started small with something more affordable then worked her way up as she gained a credit rating. Her uncle, tho his intentions were good needs to be riding her to make the payments, or let the finance company repossess the car. And Escalade? What was HE thinking.
Since the title isn't clear there is nothing he can do to transfer full ownership.
2007-11-21 07:10:12 · answer #2 · answered by David T 6 · 0⤊ 0⤋
From my understanding: the daughter would have to get a loan in her own name (only) and have that pay the finance company. The new company would then put a lien against the title and the title would have to be signed over. I know a financed car can be sold but exactly how to do that - I"m not sure. You may want to go to your local bank and speak to the loan officer - they have probably dealt with this situation before.
2007-11-21 08:31:37 · answer #3 · answered by Boots 7 · 0⤊ 0⤋
Not unless the bank agrees to refinance the car, under HER name. And clearly, they're not going to do that because she's a deadbeat.
He'll have to either keep paying the loan, or pay the car off, to transfer it to her. Or, how about he flat out sells it back to the dealer? He'll probably have to pay them money, as he's probably upside down on it, if it's only been owned for six months. But at least he'll be out from under it.
ps, tell him, you can't make someone responsible, by saving them all the time. He needs to get rid of the car, and buy her a bus pass. When she's ready for the responsibility of a car, she'll have figured out how to buy one herself.
2007-11-21 10:04:40 · answer #4 · answered by Anonymous 7 · 0⤊ 0⤋
The finance company will have to approve the change in ownership because it is SHOWN ON THE TITLE and you need a release from the finance company to change the name on ANY title of an unpaid for vehicle
2007-11-21 07:09:03 · answer #5 · answered by Anonymous · 0⤊ 0⤋
bad scenario for your uncle, he stuck in a contract obligation , my advise tell him to stop paying let them repo the car , they will sell it at an auction and the money the vehicle sells for will be placed against loan and then he should pay off the difference and be done with it . Why should she continue to get a free ride? Good Luck
2007-11-21 07:10:03 · answer #6 · answered by bigfootmaxwell 2 · 0⤊ 0⤋
He can only change it once it's paid off and has the title. I'm not quite clear on your statement though.Did he just cosign and it is in her name or is it in his name and she is suppose to make the payments? It doesn't sound like she deserves the car at all and or it is too much car for her.If it is in his name he can trade it in and it doesn't matter what she has to say but if he cosigned he is pretty much screwed.
2007-11-21 07:16:23 · answer #7 · answered by ashlie 4 · 0⤊ 0⤋
CHECK WITH YOUR FINANCE COMPANY FIRST.
2007-11-21 07:12:43 · answer #8 · answered by Anonymous · 0⤊ 1⤋