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Can you refinance a vehicle to someone else's? Advertiser Disclosure Advertiser Disclosure We are an independent, advertising-supported comparison service. Our mission is to help you make smarter financial decisions by offering interactive financial calculators and tools as well as publishing independent and objective content. This allows users to conduct research and evaluate information for no cost to help you make informed financial decisions. Bankrate has partnerships with issuers, including but not limited to, American Express, Bank of America, Capital One, Chase, Citi and Discover. How We Earn Money The deals that are advertised on this site are from companies that compensate us. This compensation can affect the way and when products are featured on this site, including for instance, the sequence in which they appear in the listing categories in the event that they are not permitted by law. This applies to our mortgage or home equity products, as well as other home lending products. This compensation, however, does have no impact on the content we publish or the reviews that you read on this site. We do not include the entire universe of businesses or financial deals that could be open to you.



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3 min read . Published on February 6, 2023.
Writen by Rebecca Betterton Written by Auto Loans Reporter

Rebecca Betterton is the auto loans reporter for Bankrate. She has a specialization in helping readers to navigate the details of using loans to buy a car.







Edited by Rhys Subitch Edited by Auto loans editor

Rhys has been editing and writing for Bankrate since late 2021. They are dedicated to helping readers gain confidence to manage their finances with clear, well-researched information that breaks down complicated topics into bite-sized pieces.









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If you've found that your car payments are insufficient and you are tempted to remove yourself from the loan entirely and let someone else take responsibility. But this is not an easy task and can't be accomplished by merely the vehicle with a new owner instead of yourself. Consider other options to eliminate the vehicle. Key takeaway
It is technically possible to refinance a car in another person's name, however, it's a multi-step procedure that involves refinancing twice and might not work. Selling the car is often the best option.


How to transfer a vehicle loan to someone else order to transfer the car loan to another person, you must transfer the car itself, which is legally thought of as selling the car. Here are two options to transfer ownership of the vehicle to another person. Sell the vehicle If you are looking to transfer ownership of your vehicle, but haven't yet paid off the loan, you have a lien on your vehicle. This means the lender holds a legal claim over the vehicle until it's sold or transferred to another person. In this situation the simplest way to transfer it sell the vehicle is through a dealer, however, you are able to sell it privately. If you decide to sell it privately, make sure you have your vehicle's title yourself. Bankrate insight
Selling the vehicle is the best solution if you are looking to transfer the car loan to another.


Refinance the vehicle two times If you are set on refinancing the vehicle into the name of someone else, you will have to follow two steps. The first step is to refinance the vehicle using an . After that, refinance to get rid of the loan. In the beginning, you must make an application for loan together with your co-borrower, and sign off with new equal responsibility. After that, you'll refinance the loan once again however this time, you will take your name off the loan. Take note that it might be ineffective and not a good idea. Remember that lenders set specific . If the loan isn't a long time in the making, the lender will likely not approve this particular step. Be aware that although there's no limit to the number of , doing it twice in quick succession can ding your credit score. There are also loan origination and transfer costs. Alternative ways to save money on an auto loan There are a few more sensible alternatives to reduce the cost of the current loan or even get rid of your current car. If you want to request a modification it, you'll need to speak to your current lender. Typically, modification is presented as a possibility to benefit both the borrower and the lender. You can keep using the car and the lender does not have to cover the cost of repossessing the car. Gather information about your financial situation and be ready to make the case that your loan should be changed. It's not good enough to say that you'll need it to be adjusted. It is essential to demonstrate that you're able to keep paying your bills after the adjustments are completed. Sell your car your issue is due to the ability to afford the current loan payment and refinancing is no option for you, can be a great idea. If you're able to find an affordable vehicle that is still able to meet your needs and that is the same or less than the amount you're paying now, you'll be able to pay off of your current loan and take home an affordable monthly price. You can refinance yourself. by yourself is wise if you intend to hold on to the car you currently own as you . When you have a look at the current loan and what you can afford, it is wise to seek loan prequalification and look for various options. Credit unions, banks and online lenders are all possible options when you're ready to begin . Next steps It's difficult to refinance your car into the name of another person or in certain cases it's not even possible. If you're interested in giving your vehicle and loan to someone else, they must undergo the typical buying and financing process. Another alternative is to refinance your auto loan twice, allowing an owner new to the loan and remove yourself. You can also modify your loan if you want to hang onto the vehicle.


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Writen by Auto Loans Reporter

Rebecca Betterton is the auto loans reporter for Bankrate. She is a specialist in helping readers in navigating the ins and outs of securely taking out loans to purchase the car they want.



The edit was done by Rhys Subitch Edited by Auto loans editor

Rhys has been writing and editing for Bankrate since late 2021. They are committed to helping readers gain the confidence to control their finances with precise, well-studied information that breaks down otherwise complex topics into manageable bites.






Auto loans editor




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