There are some things to consider before lending your car, your car is typically the next most valuable asset besides the home. The next time anyone asks to use your vehicle, think hard before simply saying ‘yes’. Just because they are a close friend or family might not all end well.
To lend your car to someone relies heavily on trust and a big decision to do so. Whether you are letting them to drive the car when you’re there or even for a few days, to go to the shops or to go on a road trip. It can be tough to say no – but Besides trust there are other rational factors you must consider.
Should I Lend My Car? – Things To Consider Before Lending Your Car
Their Driving Skills
This may come as a no-brainer but should naturally be the first thing you consider. How long have you known them? It would only be plausible that you ideally lend your car to those that drive safely, stick to the speed limits, obey the road rules and generally have not been in many incidents where they are at fault. This includes speeding fines and even parking tickets.
You should have already been in the car with them beforehand and have taken notice to their driving skills. You should not lend your car to anyone without a valid driver’s license and make sure that they are legally allowed to drive.
Are they able to drive your car specifically? Whether it be manual, auto, low, high, trailer, AWD, front-wheel or rear-wheel. And bluntly, is your car in good shape and even safe to lend? Make sure that the car service has been completed and that all lights are working along with tyres, automotive batteries and fluids.
Why Do They Need The Car?
If their driving skills are acceptable, consider why they need the car and what they will be using it for. How necessary is the reason, is it for going to the shops when they are lazy to to take the public transport or because they need to go somewhere that is inaccessible or visiting a sick relative.
Most definitely, you should also note if they would be up to no good with the car. As you may be charged as an accomplice to any offenses that may happen. You can also note the odometer reading before and after to be extra cautious.
Will they Pay Up?
Always consider that they may get into an accident, because you could be found financially responsible. Will they be able to afford the excess and pay up. Make sure that they know the insurance only covers the vehicle and not the actual driver if they were at fault. You might need to review your policy just to make sure. Some insurance companies like NRMA may cover any other driver even though they are not named on the policy of the vehicle as long as they cough up the excess. Make sure you ask them if they would be liable or would be able to use their personal insurance. But even if they say so at the time, there is no guarantee that they would make the payment afterwards. It is up to your discretion.
And if an unfortunate event does occur and they do pay up, even though you have a good record, your insurance premium would be going up.
More About Them
This isn’t such a heavy factor but you would ideally want your car to be returned the way it was when you lent it. So, are they tidy as a person? You wouldn’t want your car coming back with food scraps and rubbish, putting your own time to cleaning up their mess. Or do they have common courtesy, for petrol or whatever they may use, would they reimburse you?
These simple factors could also be deal breakers when lending your car.
These are some of the most essential things to consider before lending your car. You have all the rights to say no if it is your vehicle and refuse anyone that may ask. Being lenient all the time can also make it a habit for the borrower, and with some insurance, any unnamed drivers are not covered and able to use the vehicle on a regular basis. Be careful on who gets permission and who does not get access to the car as this could change relationships whether it is family or friends. Make sure you agree clearly on who, when and how they would be using it. It would also be beneficial to have proof of the dates if anything were to arise.