i have a car on sale and i was wondering because i have a lien on the car so…
i could give the buyer a sales contract and the title but unless he trust me…and hand me the money before i clear the lien…because i need the money of the sale to clear the balance.
so how do you guys do??anyway we can go to a bank and wire the payment to the lien holder and go from there??
any past experience please…
I sold a car with a lien once. What i did was take the buyer to the bank where i had my auto loan. Then i paid the autoloan off with the buyer with me and recieved the lien release right then and there. I then gave the lien release to the new owner to turn into the dmv when he goes to register it.
^ that’s perfect.
it’s recommended to do it infront of your buyer…that way he got nothing to complain…and you’re all set.
what if the bank is not here??it’s chase bank…none in buffalo…can i go to any bank and wire the payment? and will the bank confirm it?
^ is there an option to pay the loan online?
that’s how previous owner of my car did. he paid everything online and showed me the receipt.
great thanks!!
but wouldn’t he still need the letter from the bank stating the there is no lien or the payment have been cleared for the bank to take it to dmv?
for him to register the car, he’s going to need a lien release from the bank, stating that the loan was “satisfied”. so you can pay it online or whatever, but until they send you that peice of paper, he cant register the car
obviously the bank has a phone.
Get them to fax you the note after you make the payment.
If you don’t have fax then efax.
Print note, prosper.
I asked this to the DMV personally and that is not exactly the correct answer.
YES, it will be much better if you have the lien release form with you. However, you can still register the car to your name even though the car still under lien.
NOW, one thing the lady at DMV asked me:
“Do you really trust this guy (seller)?”
The reason she asked me that was because I entrusted full amount of cash to the seller and he promised me to pay the loan right away. In that situation, I do not have the lien release right away, however, I can STILL register the car to my name with no problem.
The REAL problem is that: According to the lady at the DMV, the loan will automaticallly transferred to my name! :ohnoes: SO, if the guy want to screw you up, he can (by NOT paying the lien in full with your money)! :ohnoes:
Now, couple things to remember:
- no matter what happened, the lien record will always be in your new title! The title is still considered “clean” when you have the new title with lien release form in your hand.
- if the 1st owner the one with lien, your title (2nd owner) will have lien record. however, the future 3rd owner will not have that lien on their new title.
- MAKE SURE you know that the lien is cleared right away! Do NOT do the same mistake like I did! Thank God i got a good guy as the seller!
cheers!
The REAL problem is that: According to the lady at the DMV, the loan will automaticallly transferred to my name! SO, if the guy want to screw you up, he can (by NOT paying the lien in full with your money)!
This isnt true. County Auto bureau is wrong. the lien does not transfer to you. It does however stay on the title. The lien is dependant on who ever sign the loan papers. Actually if you want to go farther the bank loans the loan holder money and actually does not have a right to the car if it changes hands. I do this for work and can tell you if you bought a vehicle in good faith its yours. Ive been in front of Judges many times getting title awarded to the next owner and the lien cleared
p.s. and please everyone stop calling the erie county auto bureau the DMV. Its not the state dept of motor vehicles They are county offices and rarely have the correct answer to DMV questions. If you have DMV questions go to www.NYSDMV.com or if i can help with a question i’m happy to
Ive registered a car with someone else’s Lean on the title, didn’t become a problem till I smashed it up and the Insurance company Insisted on the Lean release, and I didn’t even know the original Lienholder. had to go back 2 owners to find out who it was then get him to get the lien release to give to insurance company (thank goodness all the pre-Owners where super nice and helpful that would have been a nightmare.)
Alright im having a little dilemma here. I am trying to sell my car and still owe the bank some money. The buyer wants to write a check to my bank to paid off my balance and in return he wants the car. When i received the title, he would then write a check to me for the difference. Does this sound reasonable?
absolutely not. You would need a bank check or postal money order for your bank and also for the balance to you before you give him the car or sign anything over.