Straw Loan

[dgm118]

Need some help, we live in Indiana and back in 2005, my husband and his aunt went to a car dealer ship to purchase a truck. My husband's credit was not the best, so his aunt was going to co-sign. After all the paperwork was filled out, with my husband as the main signer and his aunt as co-signer, they were sent home in new truck, for the weekend while the financing was still underway. Car lot called Monday needed his aunt to come up and sign a few more things. We not thinking anything about it, but when title work came, everything in her name (bank loan and all). We have been the one's making all payment, we have been insuring it. The bank has know this for the entire time of the loan and nothing has really been said, because his aunt gave us permission to speak on the loan, we have fallen on hard times(who hasn't and the loan has been late) Went to make Feb 08 payment this month (well 3/31/08) was going to mail it to them but they wanted both payments feb & mar 08 or they were going to take truck. told bank can't do that but can give them 1, that was not good enough and since we were under what is called a straw loan, we are illegal anyways they will just come and take truck. I said look don't know what a straw loan is. loan was not sit up correct way, you have know this, the car lot had to use my husband' s income, because his aunt is in her 70's living off of social security. No way would she of been able to afford a $30,000.00 truck. My husband spoke with the bank and they are going to let us keep truck, but I don't understand if they are going to let us keep it, how can they say what we are doing is illegal, when they know perfectly what is taking place. Just because they are getting their money it's ok... She also told us that if his aunt dies we loose truck anyway,. when I explained that the bank must not of verfied the loan, she said we are all human and make mistakes, (but we are not allowed to fall on hard times). Any help or advice would be appreciated