Hello. I had a couple of questions about a car loan. First, here is the background information pertaining to the loan.
My girlfriend (at the time) needed my assistance to obtain a car loan. I co-signed the loan for her. It was signed in September of 2006 and it is categorized under a "joint" title ship. At the time of the loan, she was 19 and I was 21. The initial amount of the loan was for $6500 and it is currently at $4500. It was taken out through a Berkshire Bank. The monthly payments are $140 a month. After checking my credit report, I have noticed no delinquent payments on the account. I am unaware if the actual title of the car is under my name AND hers or if it is not. The car itself has been in 2 accidents (One of which it was close to totaled but just missed that designation). It is probably not worth much at this point.
Here is the problem. We broke up 3 months ago, and have had no contact. The breakup was on not so nice terms. Recently, I ran into her and she spoke to me in a way that caused concern in regards to the car loan. I have reason to believe that she may default the loan on me. As said, the account has yet to have delinquent payments but I am concerned that she may default in order to spite me. Additionally, she mentioned "transferring" the loan to another car as well as the car being not drivable. I am unsure if this means the car was totaled or if it means there are other mechanical difficulties unrelated to an accident. She told me she was going to "forge" my name to transfer the loan but I was unaware that loans could even be transferred. I was under the impression that a new loan + the amount of the old loan would be used on a new car purchase.
My questions are what kind of recourse would I have in this type of situation? Are there any precautionary measures I can take to lower the risk associated with this potential difficulty? I do not remember the title being in both of our names, so I was also wondering if I was simply tied to the loan and had no power over the car, or if I would be able to tell her she has to refinance or sell the car and split the profits 50/50? Is it possible for me to take possession of the car because of the joint ownership? Any input would be appreciated. Thanks!
My girlfriend (at the time) needed my assistance to obtain a car loan. I co-signed the loan for her. It was signed in September of 2006 and it is categorized under a "joint" title ship. At the time of the loan, she was 19 and I was 21. The initial amount of the loan was for $6500 and it is currently at $4500. It was taken out through a Berkshire Bank. The monthly payments are $140 a month. After checking my credit report, I have noticed no delinquent payments on the account. I am unaware if the actual title of the car is under my name AND hers or if it is not. The car itself has been in 2 accidents (One of which it was close to totaled but just missed that designation). It is probably not worth much at this point.
Here is the problem. We broke up 3 months ago, and have had no contact. The breakup was on not so nice terms. Recently, I ran into her and she spoke to me in a way that caused concern in regards to the car loan. I have reason to believe that she may default the loan on me. As said, the account has yet to have delinquent payments but I am concerned that she may default in order to spite me. Additionally, she mentioned "transferring" the loan to another car as well as the car being not drivable. I am unsure if this means the car was totaled or if it means there are other mechanical difficulties unrelated to an accident. She told me she was going to "forge" my name to transfer the loan but I was unaware that loans could even be transferred. I was under the impression that a new loan + the amount of the old loan would be used on a new car purchase.
My questions are what kind of recourse would I have in this type of situation? Are there any precautionary measures I can take to lower the risk associated with this potential difficulty? I do not remember the title being in both of our names, so I was also wondering if I was simply tied to the loan and had no power over the car, or if I would be able to tell her she has to refinance or sell the car and split the profits 50/50? Is it possible for me to take possession of the car because of the joint ownership? Any input would be appreciated. Thanks!
