Know your loan options
If you purchase a car for someone else, you have the option to have the loan in your name or to cosign with the individual you’re buying it for.
Can a car loan be in a different name than the title?
Theoretically, yes the title can differ from the loan. Most common real life example is a husband and wife in the title but only husband on the loan. Parent and child too. However, most banks will want the title to match the loan, so they may require a change.
Can I finance a car and put it in my wife name?
When you get a car loan, the lender wants to see your name on the title and registration. But what you can do is put both your name and your spouse’s name on the title. If you decide to do this, you shouldn’t have any problems getting the loan, nor will your spouse be responsible for the payments on the loan.
Can my wife finance a car for me?
If your spouse wishes to buy a car and finance it with a car loan, they are free to do so. Once they have bought a car, they are free to let you use it. However, if you are the owner of the car, the loan is going to have to be in your name. Your spouse can’t get a loan backed by an asset they don’t own.
Can I finance a car for my friend? – Related Questions
Does car finance have to be in the owner’s name?
Check the registered keeper of a car before applying for finance. If you apply for finance and don’t tell us that you won’t be the registered owner and keeper, this may affect your application with the lender. More seriously, trying to take out car finance for someone else is considered fraud.
Can I take a car if my name is in the title?
Any owner on title can take possession or sell it. The other owners might then have a civil claim for damages.
Can a car loan be in 2 names?
A joint auto loan is one where two co-borrowers share the responsibility of paying for a car loan. You both apply together and the lender combines your incomes to qualify you for financing. However, some situations can arise which may leave you wanting your name off a joint auto loan.
Can my dad finance a car for me?
No, unfortunately you can’t apply for finance on someone else’s behalf. There are lenders on our panel that ask that the person signing the agreement must be the registered owner/keeper and main driver of the car too. If your son has bad credit or no credit history, you may be able to make a joint application.
Can I finance a car for my mom?
You can gift your mother a car. You can gift her cash to buy a car. You cannot finance a car under your name while she drives it. Your best option is to gift her as much money as possible, and just let her find a car that works for her, or use that as a down payment.
Can my mom pay for my car?
It is possible for your mom to take over your car payments, but she’ll have to go through an approval process with your lender to make sure that she qualifies for the loan.
Can a V5 be in a different name to finance?
Yes, it can. To get car finance, you don’t necessarily have to be the keeper or registered owner of the vehicle – there are a selection of products available that will enable you to acquire finance in your name but have a different person nominated on the V5 registration document.
Can someone else get car finance for me UK?
As such, you can’t pass a finance deal to someone else – instead, they’ll need to apply for their own finance package and set up a new finance deal from scratch.
Can I buy a car for my daughter on finance?
One way of financing a car for your son or daughter is by taking out a guarantor loan. A guarantor loan, which is a type of car finance agreement, works like a normal loan – your child will be responsible for making the loan repayments.
Can a car be registered in one name and insured in another UK?
Yes, you can take out an insurance policy on a car that’s already insured by someone else. In the UK, this type of cover is known as non-owner car insurance. However, where possible, it’s usually cheaper to add yourself to the car owner’s existing policy as a named driver, as insurers can offer a discount for this.
Can someone who doesn’t own the car insure it?
You can buy a car insurance policy if you don’t own a car, but plan to drive another vehicle. A non-owner car insurance policy will provide liability coverage for injuries or damages you cause in an accident.
Can I insure a car that is not in my name?
In most scenarios, you cannot purchase car insurance on a vehicle that is not in your name. What that means is that if you drive a friend or family member’s vehicle, or are gifted a vehicle that’s in someone else’s name, the legal owner is responsible for insuring it.
Can the owner and registered keeper of a car be different?
A car’s owner and registered keeper are often assumed to be the same thing, because they are usually the same person, but in fact they can be different people. The owner is the person who bought the car or the person who has been gifted the vehicle. The registered keeper is the main user of the car.
Does the main driver have to be the policy holder?
The main driver (or vehicle policyholder) is the person who drives the vehicle most often and earns no claims discount. They do not need to be the principle policyholder but they must live at the same address as them.