Who is the legal owner of a loan paid by another

landbound

Hi, after some advise from you gurus if I may.

A couple of years ago me and my other half got new cars. Luckily I had a large pay-out (which I new was coming) but rather than buy both cars out write we took out the finance (as there was an offer of another £1500 off each car if taking the finance)

So, that's 2 contracts, 1 in each name. with me paying 50% of each vehicle balance as a deposit. My money came through a week later so as planned I paid off both finance agreements.

Now, I've just found out my other half has racked up huge debts. I'm not in a position financially to bail her out and the debt agency has obviously said if she went bankrupt or similar they can take her car.

My question is although it's in her name (reg doc etc) as I actually paid for the entire thing is the car actually legally mine, in which case not available for them to take to sell to pay some of her loans?

Hopefully it will never get that far but I'm trying to get a level on things before hand for peace of mind.

Many thanks

McKneff

Whose name is the bill of sale in,

That is the legal owner

lisyloo

Who paid/ signed for the car initially?
Who made the balancing payment?

bazzyb

Were the finance agreements both in your name? Were they hire purchase agreements? If not, what type of agreement were they?

landbound

Thanks in advance, ill try to find all the paperwork tomorrow to find exactly what the finance contracts were and the names on them. I would assume hers was in her name.

I paid for literally everything out of my current account though. Initial deposit, and balance.

lisyloo

Did you make the payment directly or did you give (gift) her the money and she made the payment?

BobQ

Point to note is that the reg doc is just the name of the registered keeper. But debt recovery agents will assume that any car registered in her name is owned by her. The onus will be on you/her to prove that you bought the car (or at least paid for it).

landbound

Thanks all. I'll check the rest in the morning buy yes I paid directly in the showroom, then with the finance company. Money was not given to her to then pay on.

Richey_

I’d go with what McKneff said.
The sales receipt is what I would go by and if it’s in her name it may be difficult to prove that you had not gifted her the money to buy the car.

bris

You bought the car for your partner, it will be treated exactly for what it is, a gift.

landbound

Mornign all

Ok, looking at the paperwork it was called a conditional sale agreement? I paid £100 deposit on MY card, followed by 3650 on MY card upon collection 20/6 which was also the start of the credit agreement.

First payment was due 1 month later on 20/7 but I again cleared this in full on MY card on 23/6 (3 days after taking out the agreement)

I assume technically agreement wise as it was paid within the 14 day period it could be classed that there was no finance?

Everything is in her name on the docs though (obviously apart from my bank card for the payments)

Again, in a separation issue I can see that proof of who did what and what was said could be awkward as one party could say it was a gift, the other a loan or out write purchase for the other to use unconditionally but as we're working together to save the car we're obviously both on the same side.