How to transfer a vehicle title, that has two owners on it? see details?

My friend co-signed for my auto loan and became co-owner of my vehicle. It's been a year now and I want to refinance solely under my name. The bank says that I will have to pay taxes as if I would buy the car from my friend, which is not right because I'm also owner of the car and it is me who has made the payments since I bought the vehicle. If someone has done this in the past please let me know how. The car is registered in IL but I bought it from Indiana. I will also talk to DMV but more opinions are always welcome.|||I think your bank is not being honest with you. Check with your DMV.





How is the title listed? Is it under "Bob Smith AND Tom Jones", or under "Bob Smith OR Tom Jones"? Depending on the state the "or" in the listing usually means that you do not need consent of the other person to make title transactions (such as selling the vehicle).





The other "owner" could relinquish his interest in the vehicle, usually with only a title fee. Again, depending on your state. But that only affects the title, not the loan obligation.





Don't go with the bank's word alone.|||If the current title says your name "or" your friend...then it's easy- have her sign off on it and get it solely in your name.


You would do this at the local DMV.|||rather than a co owner your friend should have listed as lien holder


your best is to trade it and have friend sign off on it then refinance a different car|||I think there is a misunderstanding with the bank, no tax should be due, as it was being paid during the life of the loan. The sales tax was collected when the car was registered/titled. What they probably are saying, is that you must show proof of the sales tax paid, when the car was purchased in Indiana. Your first registration form should show the amount, or you can contact the DMV and request a proof of tax paid. The Revenue division will also have any info regarding fees,taxes paid on the auto. When refinancing, you are applying for a new loan, so be sure your credit is in order before applying, or you'll risk getting turned down and still have to have the cosignor. The cosignor also must agree to this decision, if they choose not to release interest in the auto, that is their choice and they can refuse to allow you to refinance the auto.