Question regarding car ownership

[magic1980]

Dear forumers,

pls advise.

do anyone know the procedure to change the name of the car owner?
i drive a car that is purchase under my uncle's name.

now i am weighing the cons of it.
insurance etc...

anyone have similar situation in the past, can advise me what to do?
should i continue to drive and wait for a few yrs later, sell the car, and buy a new car under my name,
or to change the car to my name now. cos i am worried bout the insurance.
the insurance i am paying now, is it cover the car accident.? or must my uncle drive got accident then can claim?

pls assist.

Thanks in advance.

thanks.

[Silver]

i drive a car that is purchase under my uncle's name.
the procedure to change the name of the car owner?

you have to check if the car is fully paid or is still under hire purchase?
if not fully paid and car is transferred, he has to full-settle his loan with his finance company and you have to pay your uncle
if he expects to be paid, then you may have to take a loan, in that case, should be treated as a sale and you should check with a finance company
or
if not transferred, you may want to pay him in monthly instalments
just that you have to settle the ownership details, PARF and COE etc
insurance will still be in his name if car is not transferred

transfer procedure ---> check LTA website
transfer fee is not a big sum


insurance etc...

how old is the car?
how old are you?
how much NCD (No Claims Discount) does your uncle have?

if you "buy over" now, you will probably have no NCD and plus your loading (age, profession and no. of years of "driving experience", etc) may have to pay more in insurance now but less in future after you have chalked up more NCD

if you wait and buy new car later, then the insurance will be higher for new car but you will have, by then, chalked up more years of "driving experience" and so may push the insurance premium down, except your NCD will start from zero

the insurance i am paying now, is it cover the car accident.? or must my uncle drive got accident then can claim?

touch wood
your uncle's car insurance will have a un-named driver excess and also a named driver excess
you can check the policy to check how much it is

finally, you can check insurance premiums with a number of companies to get a better picture of the expected premium which you will need to pay

all the best

[/quote]

[magic1980]

Hi Silver,
Thanks for your reply.

i drive a car that is purchase under my uncle's name.
the procedure to change the name of the car owner?

you have to check if the car is fully paid or is still under hire purchase?
if not fully paid and car is transferred, he has to full-settle his loan with his finance company and you have to pay your uncle
if he expects to be paid, then you may have to take a loan, in that case, should be treated as a sale and you should check with a finance company

the loan is under my uncle's name, and i am paying him cash every mth. so if i transfer the ownership, the loan cannot be automatically be transferred to my name?
or can the car be changed to my name, and the loan under his name, i will still pay him? works that way?

or
if not transferred, you may want to pay him in monthly instalments
just that you have to settle the ownership details, PARF and COE etc
insurance will still be in his name if car is not transferred

transfer procedure ---> check LTA website
transfer fee is not a big sum


insurance etc...

how old is the car?
how old are you?
how much NCD (No Claims Discount) does your uncle have?

if you "buy over" now, you will probably have no NCD and plus your loading (age, profession and no. of years of "driving experience", etc) may have to pay more in insurance now but less in future after you have chalked up more NCD

if you wait and buy new car later, then the insurance will be higher for new car but you will have, by then, chalked up more years of "driving experience" and so may push the insurance premium down, except your NCD will start from zero

the insurance i am paying now, is it cover the car accident.? or must my uncle drive got accident then can claim?

touch wood
your uncle's car insurance will have a un-named driver excess and also a named driver excess
you can check the policy to check how much it is

finally, you can check insurance premiums with a number of companies to get a better picture of the expected premium which you will need to pay

Is it complicated procedure to cancel insurance? feel like buying those cheaper policy from ppl outside? that tailor to fit type? is it safe? not from reputable companies. any one has any experience?

all the best

[Silver]

Hi magic1980,

the loan is under my uncle's name, and i am paying him cash every mth. so if i transfer the ownership, the loan cannot be automatically be transferred to my name?
or can the car be changed to my name, and the loan under his name, i will still pay him? works that way?

if car is transferred to you, you will need to take a loan in your name - you can speak to the finance company about that, will need your pay slip



Is it complicated procedure to cancel insurance? feel like buying those cheaper policy from ppl outside? that tailor to fit type? is it safe? not from reputable companies. any one has any experience?

easy to cancel insurance - they will refund (pro-rated) the premium paid for the "unexpired" portion and usually will charge a handling fee, last they told me is 20% of this amount
however, when I changed cars but use back the same insurer, they agreed to waive the handling fee
perhaps, you can consider using the present insurer of your uncle's car for the first year, then change in the following year