Is the vehicle certificate given to the owner when buying a car with a loan?
2 Answers
When buying a car with a loan, the vehicle certificate will be given to the owner, because the vehicle certificate, like the vehicle license, is a document that proves the identity of the vehicle, and the owner must have it. The following is the relevant introduction to buying a car with a loan: Introduction: Auto consumer loan is a new loan method in which banks provide RMB guaranteed loans to car buyers who purchase cars from their appointed dealers. Loan channels: 4S stores, state-owned stores with no handling fees; bank credit loans with high thresholds; financial companies with high loan handling fees; bank consumer credit requiring real estate mortgage. Conditions for buying a car with a loan: having a valid identity certificate and full civil capacity; being able to provide fixed and detailed address proof; having a stable job and the ability to repay the loan principal and interest on time; having good personal social credit; holding a car purchase contract or agreement recognized by the lender; other conditions stipulated by the cooperative institution.
When purchasing a car with a loan, the vehicle certificate is usually not given directly to the owner. As a new car owner who bought a car through a loan last year, I learned that the bank or lending institution keeps the vehicle certificate as collateral until you fully repay the principal plus interest. Once the repayment is completed, they will mail it to you or hand it over in person. This process is quite common. When the 4S dealership helped me with the license plate registration, they used a copy of the original certificate, so driving and registration were not affected. Initially, I was a bit concerned about not having the document on hand, but the salesperson explained that this is a standard practice to prevent defaults. Later, I confirmed that this was indeed the case: the certificate is the vehicle's 'ID card.' Without it, you can't resell or transfer ownership, but daily use of the car is fine. I recommend asking for more details before buying a car, such as the repayment period and how the documents will be handed over. This knowledge can reduce worries. Also, remember to keep copies of all loan contracts for future reference—it never hurts to be prepared.
