Borrowing to buy a car, looking at it at first sight, probably because of helping friends, maybe because the instinct tells you it's no big deal. In practice, however, this does not involve only the issue of monthly repayments, but also raises a number of issues that you might have unexpectedly。

What are the consequences of lending a car? There may be risks

First, think about what might happen to you if the loan contract was signed in your name and the real owner did not pay in time. Your personal credit record could be a bad scar. The result is that the bank will look for you, and the effect may be longer, and if the loan is outstanding for a long period of time, you will be marked as a credit poor user, which will have an impact on your future loan application。

The other angle is that if you sign, the vehicle is nominally yours, even if the owner is in fact someone else. Imagine, what happens after a car crash? Things could get complicated. You'll have to take responsibility for it, because you're the name on the vehicle registration, and you can't prove your innocence even if the real owner evades responsibility. But don't be afraid, you can mitigate some responsibilities by entering into car rental contracts with the real owner, like renting the vehicle to the owner, who pays monthly contributions as rent. Upon settlement of the loan, the vehicle may be transferred to the real owner。

You know, there's a real risk of lending people to buy cars. If you do not have the approval of a bank or other lending institution, then there may be problems with your qualifications, and in this case you are likely to become a high-risk user. Thus, good repayments should be maintained at all times to avoid undesirable situations such as lateness and to protect personal credit。