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Selling My Car Owner Finance


dcsmith's Avatar
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04-13-08, 05:05 PM   #1  
Selling My Car Owner Finance

I want to sell my car to my daughter owner finance. I don't know how to do it. Any help will be appreciated.

 
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the_tow_guy's Avatar
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04-14-08, 04:54 AM   #2  
Well, let's start with the basics. Year/make/model and what's the value? Daughter is an adult, I'm assuming? Your question depends quite a bit on your relationship with your daughter, i.e. do you trust her completely or is there some concern on being paid (you don't need to answer that rhetorical question). Also, this may vary from state to state. You might possibly be able to transfer title to her with you listed as lien holder. This at least would prevent her from disposing of the vehicle without payment. Key question: What about insurance? If this car has a fair amount of value then you would want to require her to carry full coverage, same as a commercial lien holder. If you want/need to go all out you could draw up a simple contract, but of course the question then becomes would you be likely/willing to file suit and/or repossess the vehicle in the event of default. Lots of questions to ask yourself.


Measure it with a micrometer; cut it with an ax.

 
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04-14-08, 07:54 AM   #3  
i have found that in dealing with family and friends in financial situations, the BEST bet is to consider it a gift! that way, IF you get it back, it is a bonus with no hard feelings! onl saying: keep your money-keep your friends; loan your money-loose your friends. this also applies to family. if you can afford it, GIVE it to her. if not, keep it in your name until paid for. GOOD LUCK!!

 
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04-15-08, 04:38 PM   #4  
I'll try to make a long story short. I co-signed for my oldest daughter for that car. She moved to NY city (didn't need a car). Youngest daughter (21 in June) made a deal with oldest and took over the payments a year and a half ago. It's already her car. The car is still in my name at the credit union. My wife wanted her to get her own insurance a few months ago. She did in North Carolina; the tag is in my name in Georgia. She lives in North Carolina with "my car" and "her insurance." She has North Carolina license already. It is a mess. There is still approximately $4800 owed on the car at the credit union. The tag expired last month in my name (Georgia). We can't get tag in Ga. with North Carolina insurance. She can't get a tag in NC because it is my car. She can't get a loan because of no credit (even though she has been making the payments for a while).

I just want to pay it off and then let her pay me off. If she doesn't pay me, it won't be the end of the world or our relationship. I would rather her pay her own way. I still don't know how to be the lean holder and how to make sure the insurance is kept up.

 
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04-15-08, 04:44 PM   #5  
Going under the assumption she's trustworthy, pay off the loan, transfer the title, and tell her she has to keep full coverage on the car until it's paid off. If she blows off the full coverage and totals it, make sure she understands that she will still have to pay you the full amount even if the car is somewhere being made into razor blades.

Additional question, what is the book value of the car?


Measure it with a micrometer; cut it with an ax.

 
j HOWARD's Avatar
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04-15-08, 07:20 PM   #6  
Pay the car off--transfer to her name-make her buy her own
insurance-tell her how much you love her-go out & have a
shot & some beers & relax..............

 
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04-16-08, 02:18 PM   #7  
Posted By: the_tow_guy Going under the assumption she's trustworthy, pay off the loan, transfer the title, and tell her she has to keep full coverage on the car until it's paid off. If she blows off the full coverage and totals it, make sure she understands that she will still have to pay you the full amount even if the car is somewhere being made into razor blades.

Additional question, what is the book value of the car?
$6695 according to kbb

 
dcsmith's Avatar
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04-16-08, 02:24 PM   #8  
Posted By: j HOWARD Pay the car off--transfer to her name-make her buy her own
insurance-tell her how much you love her-go out & have a
shot & some beers & relax..............
You might well be in a different tax bracket. Also, the oldest daughter I mentioned just got engaged. Who do you think is paying out the a$$ for that. The middle daughter is close to it. I've got to have some relief. Well at least I don't need another car to pay for.

 
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04-16-08, 04:19 PM   #9  
If the insurance company is notified you have a lien on the car, they will contact you in the event the insurance lapses.


retired painter/contractor avid DIYer

 
j HOWARD's Avatar
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04-19-08, 08:06 AM   #10  
@dcsmith
Hey, I spent 60,000 to send one kid to Military school.
Guess who turned out to be a MRI tech................

 
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