QUESTION
While living with someone, we purchased a car together, we are no longer together, do we both have to pay?
Asked on Jul 24th, 2014 on Bankruptcy - Michigan
6 ANSWERS
William M Stoddard
Of course you do. The contract is either with the dealer or the bank. However, I suspect one of you had the car, so that person should pay for the use. But if that person stops paying and it gets reposseessed, well you are equally on the hook to pay for any difference not brought at auction. keep a good relationship with the other person so you will get notice from that person if there is a problem in paying for it.
Answered on Jul 28th, 2014 at 3:24 AM
Arbitration Attorney serving Irvine, CA
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Law Office of Linda K. Frieder
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It depend on who is on the loan.
Answered on Jul 25th, 2014 at 10:03 PM
Yes you do. If you are both on the contract, yes you do.
Answered on Jul 25th, 2014 at 5:01 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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In principle, if you are both titled on the car, or more importantly both signed the note secured by the care then each of you remain liable for the entire debt and must continue to pay. If the other one does not, both of you will be in default. As for this specific situation, I would need to know all of the details and to be able to review the paperwork before I could give a firm opinion.
Answered on Jul 25th, 2014 at 11:49 AM
Debt Collection Attorney serving Chicago, IL
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Edelman, Combs, Latturner & Goodwin, LLC
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If you are both signers on the contract you are both liable.
Answered on Jul 25th, 2014 at 11:48 AM
Business Law Attorney serving Bingham Farms, MI
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James T. Weiner, P.C.
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Its easiest if you sell the car and each agree to pay 1/2 of any arrearage or get 1/2 of any excess.. Otherwise the one that wants to keep; the car needs to formally buy it from the other AND PAY OFF THE UNDERLYING CAR LOAN or the seller in the deal will still be personally liable.
Answered on Jul 25th, 2014 at 11:48 AM