I Sold A Car On A Payment Plan

Location: Texas

Last month 5/29/26 I sold a car to a neighbor on a payment plan and said I’d release the title when they finished paying it off, since we also still owe the bank, a little less then what they still owe on it 900/1500 respectively. I originally offered that I would keep insurance on it since it needs to be insured, is he able to put insurance on it if we stop it and notify him through certified mail that he needs to get insurance and send us the proof. We did everything right (as far as I’m aware) in regards to paperwork, (as is bill of sale, payment arrangement contract, and transfer of ownership with the DMV)

He gave us $1000 upfront as down payment, for a $2500 payment agreement. We did our best to do everything correctly.

Should we have did anything differently? Not that it matters now because it’s said and done. I’m asking because he was supposed to make a payment today but we are getting an error about “message blocking active” on both mine (he has my number) and my sons (he never had) phones.

In the contract I put payments are due on the 15th, which he agreed to but said on that day that he gets paid on the first of each month, I haven’t seen him or the car in a little over a week.

The car had a lot of problems that I was completely honest about and did a AS IS Bill of Sale. He came by about one of the problems around the same time we last saw him, which is the battery being drained, mechanic told us definitely not the alternator but that if I was him he wouldn’t put any more money into it, when we brought it in for a warranty on the alternator after autozone said it was the alternator. It’s a Beetle so it’s expensive as hell for repairs (1200 for the alternator we replaced last year and labor warranty already lapsed)
I told him all of this.

Thanks in advance guys.