Finance in my partner's name

born_again

Mercdriver said:

You do not need to be a driver to be the registered keeper, and while it might draw a question from an insurer on quotation/takeup of policy, it shouldn't affect you if your partner is registered keeper.  

Aviva just asked me on renewall "Are you the registered keeper, or is it someone else in the household/intimidate family"

DD265

Tesco Bank want the insurance policy holder to be the registered keeper of the vehicle. They specifically told me that if I wanted to insure our second car (that we're getting rid of now) in my husband's name, I'd need to transfer it to him. Whether they'd void insurance over it... I'd rather not find out personally!

Mercdriver

So Tesco Bank don't insure people who lease cars?  The reason why there is a question is to prevent 'fronting'.  Plenty of insurance companies will have no issue with it.  Better than potentially committing fraud with a finance company for potentially 5 figure sums.

Mercdriver

Though having said the above if the finance co knew that you were the only one driving the car, would they still consider you and your partner to be financially fronting?  If they have no cause to find out, then you will be fine.  Maybe it is down to your own credit history that your partner has finance done in their name, but finance houses don't like it, as it subverts their credit checking.  

And yes it could be considered to be criminally fraudulent.  Gaining financial instruments through deception is the very definition of fraud.

rmg1

I can't get credit due to my credit history (long story).
As I've already said, we've done this before (with the full knowledge of both the dealer and the finance companies in question without any issue.

It's just that this dealer has decided we're doing something illegal when no-one else has batted an eyelid.
She gets the credit in her name, the payments come out of my bank account and I drive the car.

I don't see why this setup is illegal as long as someone makes the payments.

Mercdriver

rmg1 said:

I can't get credit due to my credit history (long story).
As I've already said, we've done this before (with the full knowledge of both the dealer and the finance companies in question without any issue.

It's just that this dealer has decided we're doing something illegal when no-one else has batted an eyelid.
She gets the credit in her name, the payments come out of my bank account and I drive the car.

I don't see why this setup is illegal as long as someone makes the payments.

It is if the finance company wouldn't have lent to her if they knew the full story at the start.  They have assessed the risk of lending to person A when the risk is actually been taken from person B without their consent.  The point is that they have credit checked your partner and the agreement is between them and her.  Why are you insistent on going through dealer finance rather than a personal loan when the difference between APR will likely negate any kickback you might get from dealer finance?

Also consider that any failed payments will affect your partner's credit history.  

DD265

Mercdriver said:

So Tesco Bank don't insure people who lease cars?  The reason why there is a question is to prevent 'fronting'.  Plenty of insurance companies will have no issue with it.  Better than potentially committing fraud with a finance company for potentially 5 figure sums.

I would've thought the person leasing the car would be the registered keeper so there wouldn't be a problem in that scenario? But yes, there are many other insurers who don't care.

Jumblebumble

rmg1 said:

Herzlos said:

It's against the contracts at least, though I'm not sure if actually illegal.
No finance company will allow the purchaser and keeper to differ. You'd need to either make your partner the registered keeper, you named in the finance, or have partner take out a bank loan to pay for the car.

Yes they will, like I said in the OP, we've done this before. 

So have I with a Citroen on PHP who both sold the car and facilitated the finance
Me Finance and insurance
Son registered keeper
Therefore it is untrue to say no finance company will allow it.

Dr_Crypto

I’m not sure about it being illegal but it is possible the finance company used by the dealer doesn’t permit this arrangement, despite others having done so in the past. If this dealer is not able to help then maybe go somewhere else or follow the advice given about your partner taking a loan and transferring that money. 

Mercdriver

DD265 said:

Mercdriver said:

So Tesco Bank don't insure people who lease cars?  The reason why there is a question is to prevent 'fronting'.  Plenty of insurance companies will have no issue with it.  Better than potentially committing fraud with a finance company for potentially 5 figure sums.

I would've thought the person leasing the car would be the registered keeper so there wouldn't be a problem in that scenario? But yes, there are many other insurers who don't care.

usually when you lease the car, the lease company retains the V5c, so is the registered keeper.  The leasee becomes a registered keeper for the purposes of fines etc., but is not THE registered keeper in teh sense of being the party that retains the v5c