matthew.larkin ) gurgled happily, sounding much
like they were saying:

So A owes £2500 and owns an asset of £1000. But the loan is unlikely to
be required to be repaid, so she owns an asset worth £1000 B owes £2500
(which parents want repaid) and owns an asset of £1000.

B's maximum exposure is therefore £2500, but parents should accept £1500
plus the title to the car being gifted to A.

Mmmm. Would such a loan from a commercial source not have A & B jointly
and severally liable? So A & B owe £5k, and if either does a runner, the
other remains liable for £5k.

As you pointed out, the car's a separate issue, since the loan wasn't
secured on it.