Could I have a contract that guarantee that this person will make the payments and that the maintenance is fully their responsibility. But insurance wise, how would that work?
This is the root of a very common question that we get here. All to often, the person responsible to the bank lets the car go with the second buyer, then the second buyer quits making payments and/ or disappears with the car. Then you are stuck for the note with no collateral. And the police won't help because it's a civil matter at that point.
But if you do decide, you will need to talk to an agent together. And remember, lying on an insurance application is grounds to terminate and not pay claims.
This is a general Q&A Forum for discussion purposes only. Anything read here should be considered marginal information at best. It would be foolish to make important decisions based on this information. Real-life legal decisions are important and should not be trusted to the free-flow of thoughts on the internet. If you need assistance, hire a professional who can listen to all of the facts and help you make informed decisions.
While a contract of the type you describe is technically possible, it is fraught with technicalities and problems haha can and likely will come back to haunt you. Attorney Von Dohlen points out just some of them. Also consider that if you let someone else possess and drive the car while it remains registered to you and that person gets into an accident, you could find yourself being sued by a third party for property damage or personal injury that will make you liable to pay tens if not hundreds of 1000s of dollars, if not more in damages to the injured party.
You have to decide whether it would be okay. I think it is a bad idea. Most people who cannot get credit to get a car on their own often have bad credit which means they do not pay their bills as they come due. Your contract cannot guarantee that the person will make payments. A contract is a promise, not a guarantee, and promises can be broken including the promises to maintain the vehicle and to maintain insurance. If you insist on going forward, the person can purchase insurance on the vehicle and become a named insured on the policy.
Answers in this general Q&A forum are for discussion purposes only, are not being provided in the context of an attorney-client relationship and are not to be construed as providing legal advice. Massey Law Firm PLLC and its attorneys may be retained only on the basis of a written contract, signed by the attorney and the potential client, together with the payment of fees and costs as may be required by the contract.
Years licensed, work experience, educationLegal community recognition
Peer endorsements, associations, awardsLegal thought leadership
Publications, speaking engagementsDiscipline