When you purchase a vehicle, it is expected that it comes with a certificate that shows that you are the true owner of the car and that you have satisfied all the requirements that it takes to own the said car.
Without a car title, there is nothing that confirms or establishes your ownership of the vehicle, and your name must be on the car title for you to lay any claim whatsoever on the car. Can two names be on a car title?
Yes! Two names can be on a car title. The implication of this is that the people whose names appear on the title are considered co-owners of the car, and they have equal ownership.
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Can Two Names be on a Car Title?
Absolutely! Two names can appear on a car title. When two names are on a car title, it means that the car is co-owned by the people who bear that name and that they have equal rights and ownership over the car.
The two people are recognized by law as the owners, and they must have filled the title application together.
Since the car is not owned by one person, but by two people, decisions surrounding insurance, maintenance or any other discussion around the car must be made unanimously by both individuals. They must operate as one.
The truth is, except for decision-making, whether one person or two people own a car has no influence over the car’s insurance or registration.
This means that, because two people own a car doesn’t mean that they have to pay more in terms of insurance premiums, or housekeeping.
In fact, not only can two people own a single car, but more than two people can have equal ownership of the same car. This means that there can be more than two names on a car title.
While doing the title registration though, it is paramount that the parties that own the car be present, as only then can their names be registered in the car title.
Advantages of Having Two Names on a Car Title
There aren’t exactly so many advantages to having two names on a car title. Mostly, people who partner to purchase a car and become joint owners are spouses, or within the same family, people who live together.
So, they are more or less the same people, without plenty of implications, except for the fact that they are both legally owners of the car.
Here are a few advantages of having two names on a car title:
- Easy transfer of full ownership: This usually happens when a spouse dies. If there are two names on the car title, and one of the co-owners dies, there won’t be any dispute whatsoever about who the full ownership of the vehicle will go to.
- Better merit concerning car liability insurance: Two people can decide to co-own a car, and have their names on the car title in order for one to benefit from the other person’s advantageous insurance policy.
This usually happens between a parent and a child, where the parent has been long enjoying a very privileged insurance policy, and the child is just about to get his first car.
For that child to benefit from the insurance policy of the parent, usually for the purpose of cutting costs, the parent will then co-own the vehicle and use the same privileged insurance policy for the car, the document of which will now be having two names.
Disadvantages of Having Two Names on a Car Title
The disadvantages of having two names on a car title are:
1. Stiffened Decision-Making
This means that you cannot make any decision alone regarding the vehicle in question until you and your co-owner agree on the decision to make.
This usually takes longer than if only one name was on the car title. Then that would mean that the car belongs to only one person.
2. Economically Unwise
Having two names on a car title, that is, co-owning a car isn’t a wise decision economically, as you would notice that over time, you get to spend more money than you would have if you owned the car, on maintenance, repairs, etc. It just happens.
3. Free Will
You Can’t Buy Another Car Without the Other’s Consent or Co-ownership as Well: This is another big disadvantage.
Once you have your name together with someone else’s name on a car title, you cannot purchase or own another vehicle with you as the sole owner.
This places a huge restriction on the automobile you can own as an individual, as long as you have your name registered together with someone else’s in a car title.
4. No Insurance Protection for Non-Family Members
Many insurance companies will not include someone who is not a member of the family as a recognized second owner or driver of the vehicle.
Hence, to get this done, you have to look for an insurance company that does not have this policy of discrimination against non-family members and will list anyone presented.
Can an Unmarried Couple Buy a Car Together?
Yes, an unmarried couple can buy a car together. Any two or more individuals can buy a car together. It is just similar to going into a contractual agreement, regardless of the kind of relationship the parties have.
It is worthy of note that whether or not the couple is married, buying a car together means entering a binding agreement that involves third parties such as the car dealer, the insurance company, and the bank.
A breach of this agreement will be considered a breach of contract and will be treated as such, no matter the kind of relationship the parties have.
Conclusion
Two names appearing in a car title means that two people own the car, two people make decisions over the car, and two people have equal rights over the car.
The truth is, having a co-owned car has more disadvantages than owning the car yourself, especially if the person you are co-owning it with is not a member of your family. So, if you can afford to, get a car that you can singlehandedly own.