Can I Finance A Car Under My Name And Register It Under My Parent’s Name

Posted in Student Car Insurance | Asked on Jul 3, 2010

Hello~I’m a college student who’s looking forward to finance a new car with a cosigner other than my parents (close family friend). If I financed the car under my name, does the car have to be registered under my name or can it be registered under my parent’s name? Either way, do I have to get my own insurance or just stay with my parent’s insurance? (I’m listed as ‘away driver’)

The reason why I’m asking this question is because I’m going to be away in school except for summer times, and would like to bulid up my credit while I’m away.

I know I asked a lot of questions but please help me out with detail answers!

Thanks in advance :)

There are 5 Answers for "Can I Finance A Car Under My Name And Register It Under My Parent’s Name"

  1. bill the businessman says:

    Just buy the car in your name, and get your insurance-make your payments, and you will be fine.If you are of age in your state, to buy things in your state, then you will be okay.
    If you are stopped for anything, it really confuses things to have one thing in your name, one thing in your parents name.
    Call the Bureau of Motor Vehicles in your state, for more information.

  2. sensible_man says:

    When you purchase the vehicle, you will be required to carry full coverage insurance until the loan is paid off. The title (temporary one until paid off) and tags will both be in your name.

  3. mbrcatz says:

    No. The name on the loan, tags, title, and insurance all have to be the same.

    Be very careful – with a cosigner, you have a CO OWNER, and if anything happens to that person, then their half of ownership of that car, gets transferred to someone else, beyond your control.

  4. car253 says:

    Bad idea to co-sign with anybody.

    If you want to build credit get one credit card and charge something on it under $1,000 make regular monthly payments on time. And, open up a checking account.

    Co-signers always turn into enemies. Don’t ruin a good relationship.

  5. Mark J says:

    you don’t say where you live, which makes a difference

    from a UK perspective the actual owner of the car doesn’t need to be the registered keeper. you may however have a problem trying to insure or tax a car registered in another persons name.

    as regards insurance insurers will smell a rat if the car is owned by a third party but the insurance is in someone elses name. if you have an accident and you are the only driver of this car and the insurers find out they may well void the insurance.

    if you are seeking to insure your car, then it should be in your name. its fine to be a named driver on your parents policy driving their car occasionally. its all about risk, if you have your own car then your ought to have your own policy