Posted 1/6/2022 17:31 (#9423477 - in reply to #9420041) Subject: RE: Mother in law vehicle ownership question
“These are the times that try men's souls.”
First call I would make is to your insurance agent and see if they will let you put this car on your policy. I did that with a truck my father and mother-in-law owns. I just have liability insurance on it as it was a farm truck, the title is still in their names. On the policy they are listed as the owners of the truck. This is with Farm Bureau of Idaho. If you can do that, I would leave car in her name and just make sure payments are going to be made. It doesn't sound like you are going to be purchasing a car in the near future just to accommodate her needs so I would just keep this one as it sounds like it might be only for a few years. The only reason did this, the truck was only worth $500 on the open market. We used it as a spare feed truck in case all others quit us. We keep it at a second ranch out of state we have. We make sure insurance and plates on it, just in case anyone got in a wreck.
I would keep insuring it for full value at least while vehicles are high priced right now, even at half the cars KBB value if car is totaled in the next two years you should be money ahead at her cost of policy. You might be able to insure it on your policy cheaper with multiple car discount. Until this market crashes I think car values are going to stay up. However, keep track of it as that might need to changed in the future.
If you are looking to keep the car, I would see about paying the car off now, having title work put in both of your names as John Doe or Mary Doe. That way you could have full control to sell the car if needed to pay bills or if it became a burden to keep. As for it being an asset she owns, I wouldn't worry about it. If they ever came looking for this asset, it will have devalued in half or even more by that time. If still running and they want it, give to them. That's the great thing about vehicles they depreciate really fast.
Putting two names on a title is nice if you're not an LLC and the intentions are the second person to keep using this titled vehicle or trailer in the operation. No problem with the other taking it over.