Moving state with a car owned by parents

[Rose Tyler]

My daughter is moving from Michigan to Nevada. The car she has is owned and registered in Michigan to her parents and still has a loan on it. She is a named driver on her parents Michigan auto insurance policy. She is not going to Nevada for college. Can she continue to drive the Michigan registered car in Nevada, on her parents policy as the car isn't owned by her?

 

[adjusterjack]

Couple of issues.

1 - And most important - Nevada requires registration and Nevada insurance within 30 days of moving to the state.

Nevada will allow the title to remain as is since there is a lien on it.

See:

Nevada Registration Requirements (nv.gov)

2 - The parents own the car so they will have to buy an acceptable Nevada auto policy with the daughter named as a driver. If the parents' insurance is with a national company, they can just call an agent in Nevada who should be able to set it up. If not, daughter can arrange it with a local independent agent or direct writer and get the parents' signatures by email.

Since daughter has 30 days, it's best to get the new policy ASAP. She will need it to comply with Nevada registration requirements.

Once the car is insured and registered in Nevada, parents can take the car off their policy.

3 - Check the loan contract. Last time I had a car loan, the contract prohibited me from relocating the car to another state. I don't know if lenders still do that but it needs to be checked to make sure the loan balance doesn't get accelerated because of the move.

Make sure that the lender is on the new policy as "loss payee" and that the lender gets a copy ASAP because the Michigan insurance company is going to notify the lender as soon as the car is off the Michigan policy. If there is no replacement insurance on file immediately, the lender will add it's own insurance to the monthly payments at an outrageous charge.

BTW Rose Tyler, I did a double take when I saw your name. If that's your real name, you share it with a beloved character from the Dr Who television franchise.

Rose Tyler - Wikipedia

 

[Rose Tyler]

Thank you so much, that is so helpful!

Not my real name, I'm a Brit in Michigan, and a bit of a sci-fi nut. David Tennant and Billie Piper were the best written episodes since the series was relaunched, and I'm looking forward to Russell T Davies writing again in 2023.

Thank you for the link, it doesn't look like she will need the Michigan title to register in Nevada, but will need a POA to apply for the registration as the car isn't in her name, hopefully that can be done in Michigan before she leaves.

The loan Contract only states that the car can not be taken out of the US so that shouldn't be an issue.

 

[adjusterjack]

David Tennant and Billie Piper were the best written episodes since the series was relaunched,

I couldn't agree more. With one reservation. I became a Whovian at the feet of Tom Baker. I even had the scarf. My allegiance is divided.

will need a POA to apply for the registration as the car isn't in her name, hopefully that can be done in Michigan before she leaves.

Looks like the Michigan form is good for Michigan.

Free Michigan Motor Vehicle Power of Attorney Form (TR-128) - PDF – eForms

And the Nevada form is good for Nevada.

VP 136 Power of Attorney (nv.gov)

I have no idea how that's going to work out. She should probably make the DMV one of her priorities after finding a place to live. They will tell her know what needs to be done.

The loan Contract only states that the car can not be taken out of the US so that shouldn't be an issue.

OK. Good.

 

[Rose Tyler]

Haha I hid behind the couch as a kid to the Tom Baker Doctor, he was the best of the first season and I loved K-9.

Yes, regarding POA I'm not certain she will be able to register the car with a POA signed/notarized in Michigan, and we aren't in Nevada to sign one for her there. Nevada does allow non notarized POAs if they have two witnesses, I'm not sure how they would know where you were when you signed it but we will do that too.

I guess I'll send her with everything I can, get an insurance policy with her as a named driver and hope it can all be worked out.

 

[adjusterjack]

It will be. It's not Nevada's first rodeo. I'm sure the DMV handles this sort of thing regularly.

 

[Rose Tyler]

Well that didn't go to plan.

We thought we had everything, title, nevada insurance, POA etc I had checked with loan company that they didn't need notifying if the car went out of state, and that nevada takes out of state POA. But Nevada DMV have said they need

"Statement from lender that daughter can be added to new title, or a lien release and new contract with buyer and co buyer listed. "

I think they are treating her as a co-owner for the purpose of registration, which I don't understand as the car and the loan are in our names. The Nevada insurance is in our name with her as a named driver.

Oh well, never had an appointment at the DMV or SOS go straight forward yet.

 

[fed up]

You register the car in your name at her address and get Nevada insurance in your name at her address

 

[Rose Tyler]

We aren't in Nevada, she had POA to register the car in our name in Nevada, there is already a Nevada insurance policy in our name with her as named driver, but because of the Lien on the car the DMV agent wanted the banks permission to put her on the title, but the request was never to add her to the title, just to register the car in NV. So IDK what to do now.

 

[adjusterjack]

Will the lender allow her to be on the title?

Be careful about that in case the lender also wants her on the loan.

Are you able to pay off the car loan and just sign the car over to her?