Legal Question in Credit and Debt Law in Texas

Promissary note

My husband and I agreed to finance a car for my daughter, who is 21. We agreed that the only way we would do this was if she agreed to make all payments for the car, but the car is put in our name. What legal contract do we need to have that says failure to make a payment to us would result in her forfeiting her rights to the car?


Asked on 12/19/05, 9:53 pm

1 Answer from Attorneys
TC Langford Langford Law Office

Re: Promissary note

A promissory note, or contract, with your daughter would create a legal, but unsecured, obligation to pay money to you. It will not give you rights to the car. You must have a binding purchase contract with her, and be a lienholder on the car. These forms might be available on this website or on the internet, I don't know. You may need an attorney to create an enforceable, secured lien on the car. TCL

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Answered on 12/19/05, 10:51 pm


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