Dream350Z

OK, so I'm supposed to purchase a 350Z this Saturday. RAn into some major last minute problems and don't know if anyone on here can help me.

The guy I'm buying from still owes 20,000 on the car. He has a copy of the title however it lists his bank as a lien on the title and therefore the notary won't transfer the title between just him and I. I talked to my bank, as well as the notary, and they both said that no financial institution would release the title without the balance of the loan being paid off.

The problem is, I don't want to give him the money for the car and then a few days later we transfer the title once we get it from the bank. I want to do it all at one time somehow....I tried to see if my bank could talk to his bank but they wouldn't do that and said it wouldn't help.

I'm sure others have had a similar situation and can help. I want to get this car this weekend soo bad. If anyone has any suggestions please let me know. Thanks in advance....

spacemn_spiff

iTrader: (3)

What you do then is make a contract and sign it with witnesses and notarize it. I have done this before. Put it in the contract that you are paying the bank to pay the loan off so that you can transfer the title/car in your name. Dont forget to include all the vital information like VIN, DL # and copies of DL, $ amounts etc. And word it better.

Then wait for the bank to send him or you the title release, take that with the old title to the DMV and transfer it in your name. Make sure he doesnt have any unpaid tickets or fines for his car, because that will have to be paid off to transfer title.


Good luck.

amallari

How it works here in Maryland is that the seller must payoff the bank loan in order for the Motor Vehicle Administration to release the title. He has a duplicate and he needs to take care of it on his end. For example, if he is selling it for $20,000.00 and he owes $25,000.00 he needs to pay the remaining balance either on a credit card or pay it in cash. When he pays off the bank loan and gets the title. He just needs to sign the title on the back and also give you a bill of sale. That is where you go back to the MVA/DMV and show the bill of sale as well as the title and they can transfer it to you after you pay your taxes.

Dream350Z

I just got off the phone with the notary and they said the ONLY way they can transfer title is with the ORIGINAL title with no liens on the car...meaning that the guy must pay off the car first before he gets the title. This puts me back at square one where I have to give the guy the money before hand hoping he just doesn't skip out of town which I am not going to do. I asked him about a notarized contract and everything like that...he said no thats not possible either. Guy was actually yelling at me and bein a dick about it because I didn't understand....see if I go to his notary now.

edit: and I am buying the car out of maryland, he has a copy of the title apparently but his bank is in Texas which compounds the problem because otherwise I would just go to his bank with him and pay off the loan.

spacemn_spiff

iTrader: (3)

Without the signed contract and title, I think its a big risk to go on with this deal.

Wired 24/7

iTrader: (2)

OMFG *Tell him to pay off the car first* and don't pay him until he has the title *in hand* ready to sign it over to you.

I would almost never hand over money to someone who is not physically holding the title in front of my face. That is just asking to get scammed.

However, if he has paid off the lien (and he provides ample proof) and the title is being mailed to him, then you can get him to sign a form from the DMV that says he releases interest in the title. That way, if he decides not to hand over the title for some reason (or is unable to), you can go to the DMV and get a new title printed out in your name. It's still WAY LESS RISKY to just have him get the title first.

Pay him in CASH only... do it in a bank where there's ample security.

If you're afraid he's gonna jump you, or you feel the least bit uneasy about the transaction (which you shouldn't) you can get a safety deposit box at the bank for your title.

But if you do the transaction at a bank, you should be fine.

This site can help sometimes too...
http://www.carbuyingtips.com/

The Brickyard Rat

iTrader: (1)

You should be able to open an escrow. Bank puts demand in for $20,000 AND a signoff on title. You put your money in escrow. Escrow company pays off the bank loan and forwards signed off title to DMV. If you are borrowing money with car as security, your bank will be added as note holder. You receive new title in mail from DMV. Done all the time.

Dream350Z

This is our plans. He is going to give me his part of the title(MD has 2 titles apparently) and possession of the car which will sit at my house. I will give him the money in certified check from my bank, and he will fed ex the money to his bank in Texas which will then send the title back out for us to transfer. Sound safe enough?

xplo310

dont just guve him the check, go with him to the post office and mail it together.
make sure to make copies of everything

The Mike

Somebody else said it... just make a contract and notorize it while you transfer the money from your bank the *lein holder's bank*. Or you are getting a loan of your own, either way. But that's how you do it.. with a notorized contract you won't have to worry about him stiffing you after you pay. Then with the clean title and the balance owed in your own funds/loan... go to the dmv and take care of the title transfer.

Aloha350z

Listen to the Brickyard Rat. Escrow is the only way to go (protects the seller as well as the buyer).

The Brickyard Rat

iTrader: (1)

Thank you, Aloha.

Surfmerrick24

Beware!!! I bought my car from a guy June 1st for 22k he had $21,500 left on his loan. We both went to a notery with a bill of sale I had printed off the internet and I took photo copys of his license and information. I paid him with a car loan check from my credit union and everything seemed ok. He was going to pay off his lein and when the title was sent to him from the finance company, he was going overnight me the title. Well it's almost August and still no title.. the guy still answers all my emails and seems to be working with the finance company to get the title to me, but I'm seeking a lawyer next week.... so take it from my stupid mistake watch out

Dream350Z

well damn, thats scary...but do you have the car in your possession, or does he have that too?

Surfmerrick24

I have the car and I have it temp. registration in the state of florida. The DMV excepted the bill of sale that I had noterized ,but they need the title so I can get FL plates and pay the taxes on the car. I hope this is all just a slight mess up, but I'm not sure what could happen if the guy decided to try and get the car back so I 'm getting a lawyer.

stopgo

Honestly, this doesn't sound safe *enough*. Please consider a written contract as others have mentioned. Escrow is even better. Is the guy in the military (just curious because he's maintained an out-of-state bank account)? 'Cause that would be a huge advantage for you if he is.

Dream350Z

I actually just printed out a contract stating he has so many days to transfer the title, I included the 3 checks with check #'s and the values of each one, and the VIN of the vehicle all in the contract, with places for buyer/seller to sign and also witnesses which is his buddy coming with him to take him home, and my dad who is coming with me.

He USED to be in the military....and i think he said in some way the bank is affiliated with the military in some way I'm not sure...I didn't understand why he had an out of state bank though.