My dad and his wife want to sue my sister for car payments and unpaid tolls.

[LdiJ]

Until the vehicle loan is paid in full, the lender will typically be the title holder/owner of the vehicle. The lender’s name will appear on the title along with the car purchaser. If payments are not made as agreed in the loan documents, the lender can repossess the vehicle.

However, even with the car title held by the lender and the lender the legal owner, the dad probably registered the car in his name rather than in sister’s name, and the insurance policy apparently is/was in dad’s name. That would make dad the registered driver and sister a permitted user.

The dad and sister are both responsible for the car loan, since dad co-signed on the loan. But the loan financing does not equal car ownership. Once the car loan is paid off, there will be a release of the lien and application can then be made with the DMV for an updated title.

Car registration can be complicated if there are unpaid vehicle violations, like toll fees and fines.

It does not work that way in my area at all. The lender is the leinholder and is not on the title as an owner at all, merely as a leinholder. Then the lender releases the lein when the car is paid off, which does not change anything on the title except removing a leinholder. (on a technical basis the leinholder appears on the bottom of the title, in a totally separate area from the owners) Again, in my area the title and the registration are separate things. One can be on the title (and typically all parties to a loan are placed on the title by the car dealer) but not on the registration.

 

[quincy]

It does not work that way in my area at all. The lender is the leinholder and is not on the title as an owner at all, merely as a leinholder. Then the lender releases the lein when the car is paid off, which does not change anything on the title except removing a leinholder. (on a technical basis the leinholder appears on the bottom of the title, in a totally separate area from the owners) Again, in my area the title and the registration are separate things. One can be on the title (and typically all parties to a loan are placed on the title by the car dealer) but not on the registration.

Minor correction: It’s “lien” not “lein.”

I suppose it depends on who the lender is. In my experience (which is anecdotal at best), the lender is listed first on the title, with the lender’s address, and the purchaser is listed second. The purchaser does not become the title holder until the loan is paid in full and the lien is released.

 

[LdiJ]

Minor correction: It’s “lien” not “lein.”

I suppose it depends on who the lender is. In my experience (which is anecdotal at best), the lender is listed first on the title, with the lender’s address, and the purchaser is listed second. The purchaser does not become the title holder until the loan is paid in full and the lien is released.

Of course mine is anecdotal as well, but it is definitely not even remotely that way in my state. I have always had a car loan and I have never had a title where the lienholder was listed as a title holder. I have always been the title holder with the lender listed as a lienholder in that section at the bottom of the title.

And yes, I do often tend to spell the ie vs ei words wrong...mea culpa.

 

[Bali Hai Again]

It does not work that way in my area at all. The lender is the leinholder and is not on the title as an owner at all, merely as a leinholder. Then the lender releases the lein when the car is paid off, which does not change anything on the title except removing a leinholder. (on a technical basis the leinholder appears on the bottom of the title, in a totally separate area from the owners) Again, in my area the title and the registration are separate things. One can be on the title (and typically all parties to a loan are placed on the title by the car dealer) but not on the registration.

Same rules apply in my state (NYS). And one cannot cancel or have no auto. insurance without first surrendering the plates to the DMV. I suppose things are different in the Carolinas. And yes the father should have his head examined for cancelling the insurance.

 

[quincy]

Same rules apply in my state (NYS). And one cannot cancel or have no auto. insurance without first surrendering the plates to the DMV. I suppose things are different in the Carolinas. And yes the father should have his head examined for cancelling the insurance.

Things are different in South Carolina.

 

[quincy]

Here is a link to the SC DMV on titles and lien holders:

https://www.scdmvonline.com/Vehicle-Owners/Titles/Lienholders

 

[Bali Hai Again]

Of course mine is anecdotal as well, but it is definitely not even remotely that way in my state. I have always had a car loan and I have never had a title where the lienholder was listed as a title holder. I have always been the title holder with the lender listed as a lienholder in that section at the bottom of the title.

And yes, I do often tend to spell the ie vs ei words wrong...mea culpa.

Rule of thumb, I before E except after C (but not always). Is it Niel or Neil?

 

[quincy]

Rule of thumb, I before E except after C (but not always). Is it Niel or Neil?

That’s a bad example because both Niel and Neil are real names.

 

[Zigner]

For a bit more anecdotal information:

In *my* state, the lienholder is listed separately from the owner on the title. There is a place for both. If there is no lienholder, then it is left blank.

Also anecdotally, I've never seen a car loan that was coordinated by a dealer wherein all borrowers weren't listed on the title as owners.

In my state, the registration and the title mirror each other. In other words, if you're on the title (as an owner), you're on the registration.

 

[PayrollHRGuy]

Same in my state. And the lien holder keeps possession of the title until the car is paid off.

 

[quincy]

If you search for South Carolina sample titles, you will see what the vehicle titles look like and how lienholders are listed.

 

[Bali Hai Again]

That’s a bad example because both Niel and Neil are real names.

You are correct. I used Neil because a former college educated engineer boss of mine consistently wrote “Dear Niel” when corresponding with his boss.

How does seize or sieze work?

 

[Bali Hai Again]

In my state I am the owner and can’t transfer title period unless the lien holder is removed from the title. That means getting a new title.

 

[quincy]

... How does seize or sieze work?

The problem with seize/sieze is that one who misspells words is not likely to find anything wrong with sieze. That is where autocorrect can be helpful.

 

[LdiJ]

In my state I am the owner and can’t transfer title period unless the lien holder is removed from the title. That means getting a new title.

I think that is probably true everywhere. That is the purpose of a lien, to prevent collateral from being dissapated. (and I think I may have spelled that wrong too...LOL)