What Risk Is There In Letting Someone Take Over Payments On My Used Car Loan, How Does This Kind Of Thing Work

Posted in Used Car Loan | Asked on Jun 21, 2010

What risk is there in letting someone take over payments on my used car loan, how does this kind of thing work

There are 7 Answers for "What Risk Is There In Letting Someone Take Over Payments On My Used Car Loan, How Does This Kind Of Thing Work"

  1. Mason B says:

    about 1000000000 risk!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

  2. Joey says:

    The risk is that if they don’t have the loan transferred into their name, that if they fail to make a payment it goes against your credit.

  3. OneRunningMan says:

    I wouldn’t do it at all!!!

  4. hullo? says:

    You can transfer the loan to their name. It costs money to do it. You need to talk to the bank you got the loan from. Or the person could just get a new loan and buy it from you.

  5. strange_busaman says:

    there is no risk if they put the loan in there name,it clears you.cll the finance comany,let them see if the person can take over the notes.

  6. davidmi711 says:

    Yes, big time. They could fail to make the payments. Since it is your loan the bank will go after you. Your credit would be impacted. Because of this, most banks do not allow loans to be assumed. If someone wants to buy your car, require cash (at least enough to pay off your loan so you can deliver the title) or that they get a loan to pay off your loan completely.

  7. BILL P says:

    There is a HUGE risk in this situation if what you are talking about is simply giving the car to the person and letting them make the payments!!!

    Any late payments will adversely affect your credit rating and you are still the only responsible party in the lender’s eyes. Even worse, if the person wrecks the car or just skips town then you have no car and still owe the full balance to the lender, by the way, did I mention you still have to keep the car insured? If you don’t, the lender will enforce it’s own insurance at exorbitant rates that will be added to your balance….

    The only way to move forward with this is to call your lender, describe what you want to do and let them be your guide. They will most likely want the person you are dealing with to submit a credit application and go through the full approval process. This is to protect both you and them. If the person doesn’t qualify for the bank, then you don’t want any part of this deal either!!!

    Good Luck

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