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What happens to the loan when the car is stolen?

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2005-10-12 04:41:41
2005-10-12 04:41:41

The insurance should pay the loan (if your lucky it'll pay all of it) If there was no insurance then you still have to pay for the loan. I had a car stolen and I had to keep paying for it until the insurance finally paid it off and I was left with $50 in the end to get a new car with.

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Every car obtained on loan definitely is an insured one.One gives loan on insurance basis only.

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When your car is 'stolen", you file a stolen car report with the cops. Then your INSURANCE will pay off the loan. The lender will deal with the insurance co. and alls well. You dont have a car, but no payments either. BTW, the insurance co. HAS to be sure its stolen or they wont pay the loan off.

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it is if you report it to the police as stolen

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The finance company will want to be paid in full if they find out it's stolen. The responsibility to satisfy the loan falls on you seeing that you failed to maintain insurance.

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If your car is stolen you should automatically have reported and what time it had gone missing.

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then they take your car and repo it.

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You can go to jail for theft of a car.

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The creditor reposseses the car, and you take the bus.

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Call the bank. Explain the situation. Try to get the loan transferred into his name. If he doesn't co-opperate, call the cops and report it as stolen.

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You need to make arrangements to pay it off.

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You send them a certified letter demanding return of the car within 3 days. If no response, report it stolen.

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YOU pay off the loan like you agreed to in the contract. You likely agreed to have ins. that covered theft also. You should have had full coverage on a car with a loan on it. Sorry, you have to pay the loan off and now you own a totaled car! Comprehensive coverage isn't that expensive and would have covered theft.


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