Can a Minor Legally Purchase a Car?

Teenagers dream of owning their own car. Some of them will even save up to buy their first car. However, once they have the money saved, will they be able to purchase a car if they are under 18 years old? The answer to that depends largely on what state the minor lives in. Some states are willing to allow a minor to purchase a vehicle.

Ability to Enter Into Contract

The biggest thing preventing most minors from owning a car is that they cannot enter into a contract. Because a purchase agreement is considered a contract, a minor would not be able to be the sole owner of a vehicle. The minor's parents or guardians would have to sign the contract as the majority owner of the vehicle. Minors cannot be majority owners until they reach the age of majority in their state or unless they become emancipated from their parents.

Someone Else Holds Title

If a parent co-signs a loan for a car, then the parent is the majority owner of the car and the holder of the title. This does not prevent the minor from buying the car or using it, just from owning it. While there are some states that allow a teenager to register a care, a parent or guardian still needs to sign the contracts and legal documents concerning the car. One variation on this is that Ohio will allow minors to title vehicles, though a parent or guardian has to complete a minor consent form and accompany the minor to the Clerk of Courts office to title the vehicle.

Emancipation

Minors can be emancipated from their parents, which also frees the parents from any responsibility for the child. Emancipation happens if a minor joins the military, marries or is ordered emancipated by a judge. In essence, the child is being proclaimed an adult before the age of majority. He can do all that an adult can except purchase tobacco, pornography or lottery tickets. This means that an emancipated minor can enter into contracts and title a vehicle in his own name.

Age of Majority

When a minor reaches driving age, it does not mean he can purchase and title a vehicle. Driving age is not the age of majority. In most states, the age of majority is 18. The exceptions are Alabama and Nebraska at 19 years old, and Mississippi, Indiana and New York at 21 years old.