Where is the Title Deed for an Installment Car?
4 Answers
Installment car title deeds are held at the vehicle management office. Below are the conditions for purchasing a car on installment: 1. Age: Must be between 18 and 60 years old. 2. Documents: Original and photocopy of the borrower's ID card, original household registration book, and original property ownership certificate. 3. Income Proof: Income certificate issued by the borrower's employer. 4. Repayment Period: Choose the car model and negotiate the down payment ratio, loan amount, and repayment period with the dealer. 5. Procedures: Fill out the loan application form and complete the loan procedures. Below is additional information on selling a car purchased on installment: 1. Installment Not Fully Paid: If the installment is not fully paid, the installment payment can be transferred along with the car to the new owner. 2. Installment Matured: Once the installment payment is matured, the car can be freely transferred. 3. Full Payment: You can request a full payment and continue repaying the loan yourself.
When it comes to the vehicle title for a financed car, it's typically held by the bank or financial company during the loan period. This is to ensure that if you default on payments, they can recover the vehicle using this document to minimize losses. I once purchased a car on installment, and the contract clearly stated that the title would be sent directly to the lending company and stored in a safe. Only after I completed all the scheduled payments would they notify me to retrieve it from a designated location. I also had to bring the loan repayment proof to the DMV to complete the lien release process; otherwise, selling the car wouldn't be possible due to title transfer issues. To make the process smoother, choosing a reputable institution can save you headaches. I've seen cases where people tried to retrieve the title through private intermediaries, only to fall victim to scams. So, it's best to directly contact the lender to confirm the status.
From a legal perspective, the vehicle title (commonly referred to as the 'big book' in China) serves as proof of ownership for installment-purchased cars. Before you fully repay the debt, it is held by the creditor—a standard practice in auto loans to prevent disputes arising from unauthorized vehicle disposal by the owner. I've reviewed cases like Zhang San's: after buying a car on installments, he wanted to sell it but couldn't without the title held by the bank until full repayment, leaving him to either retain ownership or negotiate alternatives. My advice: carefully review mortgage terms when purchasing, confirm the custodian of the title to avoid future hassles. Regularly checking credit reports during repayment is crucial—ensuring timely payments protects your credit history and avoids penalties. Retrieving the title post-repayment is a rewarding milestone, symbolizing your full ownership rights.
For safety considerations, the title of a financed car is securely held by the lending institution, effectively preventing theft or illegal operations. I've driven a financed car before, and it works fine for daily use, but the title isn't in your hands—you can't get it unless the loan is fully paid off. This arrangement actually protects the interests of both parties; you can focus on using the car and making payments, avoiding impulsive sales. By the way, during the repayment period, keep records and evidence, such as payment receipts and copies of the contract, to quickly resolve any potential disputes.
