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Who gets the family car in a divorce?
My husband and I are divorcing and we have a 2015 Subaru Crosstrek. The car title is in my name, but we've shared it to transport our kids. I've made the payments on the car, but his parents helped provide a down payment when we initially bought it. What happens now?
Sophie Newman · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
“If you live in an equal distribution state, your community property is divided equally between parties during a divorce. Generally speaking, a car is considered community property and ownership will need to be determined.
If you don’t come to an agreement about the vehicle on your own terms and have to go to court, one person may be asked to buy the other out, or you may be asked to sell the vehicle and split the proceeds equally.
If you need a car to drive before your divorce is finalized, you may consider leasing in the meantime. That way you won’t have to split the equity associated with
buying a new car
. I’m sorry to add another thing onto your plate, but don’t forget you’ll need to review your car insurance policy as a result of the divorce. There are a lot of tools to help make the process easier! The free
Jerry
app compares rates from the top 50 companies and delivers the best deals to your phone in minutes. We also do all the paperwork for you, including transferring your personal information from your current provider and cancelling your old policy.”View full answer
- Gregory R.
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