Interest income is reported on a Form 1099-INT. Since the loan is being paid to you, you will report the interest income so you would be the one who would receive the 1099-INT form. The payor of the interest is an individual and not a business entity, so he doesn't have to issue a Form 1099-INT to you. The payor would issue the form, you wouldn't issue one since you are the recipient.
The borrower doesn't need the interest statement for his tax return since it is not a mortgage so the interest is likely not deductible. Personal interest on a loan is not deductible like it once was, so the borrower doesn't need to report the interest expense, unless he is self-employed and uses the vehicle for business purposes. In that case, he would just ask you for a statement showing the interest expense.
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