Can a cosigner on a car loan report the car as stolen?
I had a falling out with my stepfather, who is the cosigner on my loan. He's always been a spiteful person, and he's threatened to report the car as stolen on more than one occasion. Can a cosigner do this?
“People get this confused all the time. A cosigner is simply a person who pledges to pay off a loan if you, the primary loan holder, can’t or won’t.
They have no legal right to the car, as their name isn’t on the title. Could your stepfather report the car as stolen? He could try, I suppose.
But in most cases, the authorities will want to see his name on the title to know that he is the rightful owner of the car. Since he can’t procure this document with his name on it, chances are that nothing will happen.
If your car is reported stolen, just stay calm. If you’re pulled over, explain the situation to the police officer and they’ll sort it out within the law.”
Did this answer help you?
Ask us a question by email and we will respond within a few days.
Have a different question?
You can meet us at our office and discuss the details of your question.
Read advice from car experts at Jerry
Browse by topics
What others are asking
Can a dealership really ask you to bring a car back after you’ve signed all the paperwork? "
"I went to the dealership to help my son purchase his first car the other day. It turns out that he’s got good credit and was able to qualify for a car loan without me as a cosigner. The salesman swore up and down he could get him financed at a good rate, and we signed the paperwork and left with the car. After about a month, he got a call from the dealership saying they couldn’t get him financed and that they needed the car back. Is this legal and what should he do?"
Jul 26, 2021
Does Metlife insure salvaged vehicles?
"I want to purchase a used car that has a salvage title. I'm currently with Metlife and I'm wondering if they would insure it. I currently have full coverage with them on a different vehicle and would want the same coverage."
Jul 26, 2021
How much of a balance can you roll over into a new car loan?
"How much of a balance can you roll over from an old car loan into a new car loan? I have negative equity in my current car loan, but I also want to finance a new vehicle."
Jul 28, 2021