Can Someone Take Over My Car Loan?
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Can a Car Loan Be Transferred to Another Person?
How Can Someone Take Over a Car Loan?
Alternatives to Transferring an Auto Loan
Sell the vehicle to someone else. This scenario may be the cleanest and quickest way to resolve an unwanted auto situation. Selling the vehicle not only avoids the need to transfer an auto loan, it can also provide a cash infusion if you're experiencing financial struggles. Have a family member or friend take over the auto loan payments temporarily. If you’re an auto loan holder and you’re having short-term financial problems (if you’re between jobs, for instance), you can ask a trusted friend or family member to take over the loan for a few months until you're financially solvent again. In that event, it’s highly recommended that both parties sign a contract stipulating the length of the contract and how the auto loan will be paid. If the temporary auto loan payer will also be driving the vehicle on a regular basis, you need to be aware that any parking tickets or toll booth violations will be filed in your name. Traffic accidents are a risk, too, so the temporary driver would also need to be covered by insurance. Refinance the auto loan. To relieve some financial pressure, you can refinance the auto loan. This may potentially let you lower your interest rate or extend the loan term to reduce the size of your monthly payments. To do this, you’ll likely need to have good credit (a FICO® score of 700 or more will aid the cause) to get the best auto loan refinancing loan terms.
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