My thought still stands: money or the car. Or actually car or nothing. You NEED that money. They don't because they aren't poor, they just mismanage their finances to insane levels.
I've never been in this situation with family, and with friends I've never lent more than maybe a couple hundred out, so I can't say i've ever loaned somebody 1,500, but I'd be madder than hell trying to get that money back.