We misunderstand each other.
I was asking if you were able to possess (WITH THE CAPSULE COMPONENT) the simplest of objects with the simplest of code.
If you can possess an object along with the capsule component and not have any issues, then it’s your code for the (above) blueprint that’s the issue.
You SHOULD be able to have a character possess a vehicle with no collision issues, which is why I suggested to create a simple new blueprint from scratch to make sure.