You cannot buy a car if the loan has not been paid off. Because when applying for a car loan, the car title has been transferred to the lending institution. The lender only has the right to use the car, but not the right to dispose of it. Therefore, you cannot buy or sell a vehicle while there is still a loan on the vehicle. Loan is a form of credit activity in which banks or other financial institutions lend monetary funds at a certain interest rate and must be returned. Article 240 of the Civil Code: The owner shall have the right to possess, use, benefit from and dispose of his or her real estate or movable property in accordance with the law.