What happens to your car loan if you lose your license?
"I recently lost my driver's license and now I can't drive the vehicle I financed.
What happens to the car loan itself?"
Answer provided by
Answered on May 21, 2021
“Losing your driver’s license shouldn’t have any impact on your car loan at all. Your name is still on the loan and regardless of whether or not you can drive the vehicle, you still own it and are legally required to keep paying your loan.
Your car insurance might be a different story if you get a DUI. If you had your license revoked for other reasons, your insurer may or may not cancel your policy. However, your car will still need to be insured as part of the stipulations of your loan.
If you have a spouse or family member, you might want to add them to your policy so they can drive you to work or wherever you need to go.”
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.
Browse by topics
What others are asking
What do I do if I want to switch car insurance companies?
I've had a policy with the same car insurance company for a really long time. Basically ever since I bought my first car. But my rates are going up and I'm starting to wonder if I can get a better deal somewhere else. How do I switch car insurance companies? Is it hard?
Mar 12, 2021
What are some cheap car insurance options for a senior on a fixed income?
My father is the sole driver on his current car insurance policy. He can't afford to pay the usual $150 or $200 monthly insurance rate. How can he get cheap coverage?
Mar 12, 2021