Joint owner on auto loan is late with payments

[heart2heart]

Ok here it is, I thought I was co-signing on my sister's car loan (yea I know, mistake), come to find out I am the JOINT OWNER on the loan. Fast forward a year and a half later, she is unable to make timely payments.

 

My question is....do I have any options here??? Is there a way for me to take over possession of the car & the loan. (I have to make payments anyway when she's late to protect my credit). The car is not worth the loan amount (I'm sure)..due to the fact it is not being well taken care of. ... How do I fix this?? Or do I have to keep letting her drive around, and I have to keep making payments when she is unable??

 

Any insight would be greatly appreciated..

[MarvBear]

AFAIK most lenders require any one signing a co-maker notice to also be on the title work/registration. Very common practice when two people sign the loan docs, both people own the vehicle.

 

You should also make sure the vehicle is properly insured to protect your interests.. And it's kinda like, whomever has the keys is the owner so to speak. Possession is 99% of the law.

[mk_378]

You are equal owners. Like Marv said, you need to protect your interest in the car with insurance, make sure it gets maintenance, and she doesn't abuse it. If it is apparent she is never going to pay, selling it at a loss and covering the difference with your cash may be best for you in the long run.