Car on finance

sonicmouse

Hi

Just a quick question, any help would be great.

My dad bought a car on Finance but it comes out of my Mums bank account. Its in his name but I have recently took over the car payments as I now drive the car but due to family problems he has moved out.

What would happened If i paid the car off and he demanded the car back? Is it legally his or is it mine since he hasn't paid a penny for it.

Dabooka

His, assuming that's what the DVLA believe.

IS the finance HP, personal loan or what? That also makes a difference

stephane_2

If its his name on the credit agreement and dvla papers....then yes it is his car....

dt3887

if you are paying it, and you are driving it, i would get the V5 into your name, or else yes. he can take it away

sonicmouse

dt3887 wrote: »

if you are paying it, and you are driving it, i would get the V5 into your name, or else yes. he can take it away

Hi

Yes Ive got that sorted, the V5 is in my name now. But im just worried incase he can take it away once Ive paid for it, despite him not actually paying a penny for it or it coming out of his bank account.

SeanG79

Firstly, V5 means nothing in terms of ownership only the registered keeper. Also changing the V5 into your name.

You need to clarify if the finance is a personal loan or secured on the vehicle. If secured on the vehicle and the lender is made aware of the change of registered keeper, they could terminate the agreement and repossess as it will be a breach of their T&C's.

You then really need something in writing from your father stating that he is "selling" the car to you whereby after all the contractual payments have been made the car is yours. Without that, if its a personal loan, your dad already holds title to the car and the vehicle is his. If its vehicle finance, the car will become his once the completion/ownership fee is paid with the last payment. Without documentary confirmation stating the car becomes yours, in all situations once all payments are made the car will be owned by your father until he "sells" it.