Hello I am a licensed attorney here to help you with your question, please review my response and do not hesitate to ask for clarificatiON
This is a common issue,
Your friend has several options,
Okay, let me see your response and I will go from there
If their is little equity, the court will not force her to give up the car, she would have the right to pay the loan on the car and file bankruptcy, she would have to reaffirm the debt. If she cannot afford the payment, than the car would be given back to the lender, and the lender can come after you for the payment. You should be very careful and discuss this with her,
One more question.
I wrote last time could you confirm my comment.
My friend keeps saying that the lienholder owns the vehicle. I keep telling her that She owns the vehicle subject to the loan and the car is collateral on the loan and if she defaults the lienholder has collateral rights over anyone to repossess the car. Could you please confirm.
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