My credit union doesn’t require a copy of the title just a bill of sale for the amount you are requesting. Then they make a check out with my name on it payable to the seller. So you can’t just put the check in your bank account and pay cash because the car becomes collateral for the loan.
I guess every bank or CU is a bit different and that is where the discrepancy initially was.
my credit union (penfed) just mailed me a check that had to be endorsed by both the seller and I.
Just today, my credit union issued two separate checks. One to the seller of the vehicle and one for the payoff amount to the lienholder to ensure that the lien was to be squared away. I’ve never seen it done like that, but I loved the idea.
I’ve heard of it being done that way. Definitely give the buyer/proper lein holder a little peace of mind that it will be paid off.
I like that. Makes the process much easier, especially for a seller that needs money from the buyer to pay off the lein while the buyer needs a clean title to get the money from his bank. I can see people being caught in catch-22’s.
at my credit union (moog) I just do signature loans when I’m in the same situation as yours.
That way I can skip all the VIN/insurance requirements and any other BS that goes with it.