The Harm of Lending Social Security to Buy a Car for Others

There are many risks for others, even if it is only handled in my own name, you are not required to pay a penny.

1. Because the loan is in my personal name, if there is overdue repayment, the name recorded on the blacklist is me, which will affect your future credit;

2. Loan in my own name. After the car is bought, it is also your name. Because it is used by others, if there is a traffic accident, the owner will be found first. In any case, as the owner, if the owner has a major fault, he will be liable for compensation. If the parties agree in the suretyship contract that the surety shall bear the suretyship liability when the debtor fails to perform the debt, it is a general suretyship. The guarantor of a general guarantee has the right to refuse to undertake the guarantee liability to the creditor before the main contract dispute is tried or arbitrated and the debtor's property is enforced according to law.

If there is a hit-and-run or mortgage fraud in the car, there may be an accident.

As a guarantor, it doesn't matter whether the parties can repay on time. If the parties fail to repay the loan on time and the bank fails to make repeated dunning, the bank will find the guarantor to undertake the corresponding guarantee obligations. The third party and the creditor agreed that when the debtor fails to perform the debt, the guarantor will perform the debt or bear the responsibility according to the agreement, and the third party here is the guarantor.

legal ground

Article 687 of the Civil Code of People's Republic of China (PRC) stipulates in the suretyship contract that when the debtor fails to perform the debt, the surety shall bear the suretyship responsibility, which is a general suretyship. The guarantor of a general guarantee has the right to refuse to undertake the guarantee liability to the creditor before the main contract dispute has been tried or arbitrated and the debtor's property has been enforced according to law, except in one of the following circumstances:

(1) The debtor's whereabouts are unknown and there is no property available for execution;

(2) The people's court has accepted the bankruptcy case of the debtor;

(3) The creditor has evidence to prove that the debtor's property is insufficient to perform all debts or cannot perform debts;

(4) The Guarantor waives the rights stipulated in this clause in writing.