Ask a lawyer on the topic of Social law

Car ownership on Hartz IV

February 11, 2010 | 20,00 EUR | answered by Steffan Schwerin

I took over the full financing of a Golf VI for my stepson in September 2009. In April 2010, he will complete a 2-year further education and will then be eligible for unemployment benefits (Arbeitslosengeld 1) when not employed. As I am pessimistic about his career prospects, I expect a slide to Hartz IV. Due to an old vehicle belonging to my stepson, we were entitled to the scrapping bonus, which has since been transferred to my account. For this reason, the papers were registered in his name. When placing the order, I discussed this issue with the seller. I do not want the employment agency to have access to the vehicle. I consider myself the owner. I have kept the vehicle registration document. What options do I have to prove ownership without changing the vehicle papers? It can be verified that my stepson did not have the means to finance the vehicle, while the necessary cash withdrawal was made from my account for the vehicle handover. The vehicle is not a gift.

Best regards

Steffan Schwerin

Dear questioner,

I will answer the questions you have raised taking into account the circumstances described and your contribution as follows:

Here, the son is the owner and holder of the vehicle. However, you have financed it and also have the vehicle registration document.

First, we need to wait and see if there is actually a case of performance. If so, the ARGE cannot easily access the car.

You can secure the vehicle as follows:

Since you financed the vehicle, a loan agreement can be made with your son.

A security transfer agreement should be drawn up.

Your son can then drive the vehicle, but you will be the owner during the time period when your son repays you.

In this case, your son only has a right of expectation and is not the owner, so the ARGE cannot access the vehicle.

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Best regards,

Steffan Schwerin
Lawyer

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