Car under my name, for someone else. What do I do if they can't pay?

[gullible27]

What is the name of your state (only U.S. law)? MA
So...I have a bad tendency to want to help others, even when it can be pretty risky for me.

The situation is thus: I have leased a car for my roommate who didn't have the credit score to get the car loan. Note: it is entirely under my name, as the applicant, (not co-signed).

The understanding we have is that they would be paying for it, though it is under my name. However, I recently found out that they might be evicted for failure to pay rent. If this does happen, and they don't have the money to pay for the car, what should I do?

As the paperwork stands, I am legally liable for the payments. However, it would really wreck my budget to be paying the monthly payments on the lease. Is there anything I can do to get out of this?

Can I legally transfer the lease?
-What if they object to taking over the lease?
If all else fails, would I have to repossess the car somehow or claim "theft" in order to get it back?
-From there would I be able to return it to the dealer or would I have to lease it out to someone else?

What are my options?

 

[FlyingRon]

Ah, what a tangled web we weave, when first we try to deceive.


You have no right or even likely a possibility to transfer the lease. You are 100% liable to pay the payments and maintain insurance on the vehicle.

About all you can do is recover the vehicle that you are the lessee.

 

[CdwJava]

You cannot compel them to take over the lease. And, even if they wanted to, that would be between you and the leaseholder ... I suspect that would be a whoppin' "No!" if they are about to lose their residence.

And, repossess it? Heck, if the car is registered and leased in your name, just TAKE it back. Getting a key might be tough if you don't already have one, but, you can always go to the house with the police acting on a civil standby request and ask this person for the keys because you are taking the car. However, if you are paying the lease and the car is registered in their name somehow, then you have will have trouble just taking it.

And DO NOT report it stolen as that will get YOU in trouble! It is NOT stolen! This is a civil matter and not a criminal one, so don't even consider pursuing that option.