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In a car loan situation, the bank holds the title to the vehicle while the borrower, like Josh, is considered the owner until the loan is paid off. Although the title is technically with the bank, the borrower can sell, refinance, or use the vehicle as they wish. The insurance covers the borrower as the driver, not the bank. Once the loan is fully repaid, the bank sends the title to the borrower, transitioning the status from an agreement for sale to full ownership. The key point is that the lender's possession of the title does not negate the borrower's ownership rights during the loan period.
