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There must be a reason why you want to purchase a car under another person's name. You must have a bad credit history, must be a poor credit risk or there must be some other reason. What you are suggesting is fraudulent. A person who needs an attorney-in-fact to help with managing their affairs has not been fully informed if they have agreed to take full responsibility for a car loan for a poor credit risk. You would be abusing your authority if you carry out that scheme. If you check the statutory powers granted under a POA in your state you will not find that an attorney-in-fact can borrow money for their own personal use under the name of the principal. You should be replaced.

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Q: Is it legal to buy a car under someones name if you have power of attorney and they are aware of the situation?
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Is it legal to buy a car under someones name if you have power of attorney but they are not aware of the situation?

No. Self-dealing by the attorney-in-fact is a violation of law. The only authority under the POA is to sign instruments on behalf of and at the request of the principal. If the power is used for personal purposes such as to purchase, register and insure a car under the principal's name, the attorney-in-fact would be placing the principal and their property exposed to creditors and lawsuits. The attorney-in-fact would be committing fraud. An attorney-in-fact is in a position of trust and therefore must be trustworthy.


Can the attorney-in-fact under a Power of Attorney use the principal's funds to defend their actions as AIF when their actions have been challenged?

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