Can a Mortgaged Car Be Purchased Without Transferring Ownership?
1 Answers
Yes, it can. If a car has been mortgaged, it means the ownership rights of the vehicle no longer belong to the original owner. Therefore, the original owner does not have the right to transfer ownership of a car that temporarily does not belong to them to someone else. Purchasing such a car carries significant risks. Below are some precautions to consider when buying a mortgaged car: 1. If you intend to purchase a mortgaged car, you must clarify its source. If the car is stolen or involved in illegal activities, you must not buy it. Purchasing such a vehicle may lead to confiscation by law enforcement, resulting in substantial financial losses for the buyer. 2. Relevant documents are essential. The lending institution must provide a clear mortgage agreement, along with the borrower's identity information, including a copy of their ID card. 3. Inspect the condition of the mortgaged car. Many mortgaged cars may have underlying issues, such as being extensively repaired or having high mileage. Purchasing such a vehicle could lead to numerous performance problems. If the mortgage is not cleared, there is a risk. In other words: if the original owner repays the loan on time, it is acceptable; if they default, the car may be auctioned by the mortgagee to repay the debt.