Auto Loans Car ownership

[KTR28]

Jurisdiction

Illinois

About 1 year ago I took out a car loan to purchase a car for my niece. The loan is only in my name and I'm the only one making the payments. Both her father and myself are on the title. Because of recent events, I have decided to take back the car. Do I have the right to just take the car away?

 

[adjusterjack]

Do I have the right to just take the car away?

Yes. You own it.

But so does her father. Which gives him the right to take it right back from you.

The loan is irrelevant. That is, unless you stop making payments. Then the car gets repo'd and your credit gets trashed.

I don't suppose the father would just sign the title over to you and let you have the car, would he?

 

[mightymoose]

Both her father and myself are on the title.

Are you certain? I would expect the title to be in your name only ,with a lein from the bank.

Do you mean the registration is in both names?

Neither of you actually owns the car until it is paid for, but you certainly have more of an interest in the vehicle if you are the only one responsible for it.

Yes, you certainly can take the vehicle. Drive it away or have a tow truck collect it for you. Be sure to return her personal property inside the vehicle, then keep it secure and disabled (maybe remove the battery) somewhere it can't be accessed.

 

[adjusterjack]

Neither of you actually owns the car until it is paid for,

Common misconception. If your name is on the title, you own it. The lender has a secured interest which is different from ownership.