Is your credit hurt when you sell your vehicle and someone takes up the notes?

Question

Is your credit hurt when you sell your vehicle and someone takes up the notes?

Answer 1

As long as those payments are up to date.  You have put yourself in a shaky situation, unless you are positive you know this person well, cause if he/she moves to Alaska, that car, and the responsibility for payments is yours.

Therefore stick close to this person.  Do you have anything in writing, not sure the original lender would approve of this, not sure it would help.

The payments should never be left in your name, but as to your original question, keep "someone" close, actually would want them to pay you, and you make the payment, else, you are in "precarious" position.  Hope it is your fiance.

Answer 2

Auto finance is what I do for a living and your question is not clear.

There is a big difference between selling your vehicle and someone taking over the payment's.

If you sell your vehicle you are responsible for paying off the loan. If someone takes over your payment's you still own the vehicle and still must be listed on the insurance along with the other person.

I have done this and what I did was have the other person pay me and then I paid the lender, this way I was sure that the payments were made on time and my credit was protected.

Answer 3

as long as they pay you in full and transfer it out of your name.