Need some financial advice

[oversam]

I have a friend (let's say A) who is using his name for a car loan that has 12 months COE left for a friend (let's say B). B is the one using the car and servicing the loan but recently he's been paying late, and not even responding to text/calls. A is a pissed off with B, so he wants to consider his options.

If he takes somehow finds and managed takes back the first car, he has to service the loan. A is also paying for a 2nd car loan he is using as PHV. The first car its not registered for PHV and has a much higher loan. It would be wallet damaging even if he sells off his first car.

If A reports the car stolen/missing, insurance would be not able to cover the loan so that's also wallet damaging.

If A does nothing and hopes B will continue to service the loan (12 months left), what happens if B can't pay? They will repossess the car and can the loan company bankrupt A?

What are your suggestions?

[johnnydsg]

Go and speak with the loan provider directly about the situation and find out what are the options.

[fallen11]

who is the legal car owner of B's car?

A is the loan owner, anything with the loan is A's responsibility.
I lend A $100. A use the $100 to buy something from B and it turned out to be a lemon. A asks B to return him the $100 for damaged goods. B goes uncontactable and doesnt return the $.
I ask A to return my $100 when its time. Can A dont return?
I lend A the money, A answers the loan to me. I dont care what A does with the $100.

Basically the financial liability fully belongs to A. I think you'll be considered lucky if B's car is repossessed, sold off and A come up with the money to make up any difference in outstanding loan. Cutting losses.
Who knows what further troubles B has for A.
What can A do with 2 cars? he cant drive 2 cars at the same time yet has to service 2 car loans??? better to sell it off.

[oversam]

That's the dilemma, my friend is trying minimze wallet damage. If car is repossed, my friend still responsible for outstanding loan or can he ignore?