Best way to pay for the car if seller has a lien

[bangbang001]

I'm trying to buy a car where the seller still has a lien but his credit union who holds the title is in another state from him?

He is not comfortable with a cashier's check
I'm not comfortable with a wire tranfer to his account without the title in his hand?
My credit union suggests I get a loan with them and they make out a cashiers check with his name and his credit union name on it and we send it to his credit union when I get there. His credit union would be responsible for getting my credit union the title?

Thanks for any advice

 

[ANYTIME]

Write up a contract and bill of sale between you and he stating you are buying XXX vehicle for X amount, etc and give him a good faith deposit.
I believe that a good written contract would hold up in court :biggrin:

 

[jas303]

If you're going to use a loan, the best way is to have your bank directly dealing with his, since neither of you will get to touch the title anyway.

 

[trainingrevolution]

If you're going to use a loan, the best way is to have your bank directly dealing with his, since neither of you will get to touch the title anyway.

In '07, I purchased an BMW M Roadster from a guy in Denver, CO when I was living in Boston, MA. He had a lien on the car for around $20K.

It would have been great if we could have went to his bank, presented the check from my bank for his payoff and have them give me the title immediately. Unfortunately he used a BIG BANK, and once the lein is satisfied they send the title to the original leinholder.

We went to his bank on Monday, I presented the bank manager with a check to payoff the lein then presented the seller with the remaining amount. While we were at the bank the bank manager notarized the bill of sale.

The seller received the title from his bank about three days later and sent it to me via FedEx.

So for about four days I was really nervous....but it worked out in the end.

 

[Dynamic-uzed-auto]

I agree with jas303, thats how its done.

 

[Bear]

I purchased a leased 911 from a guy that was upside down.

I flew in, test drove the car and agreed to purchase.

We then signed a contract at his bank under cameras with the banker as witness.

Then we drove to Porsche Financial Services where I presented a check to them for my purchase amount. The seller [edit] also presented a certified check for the remaining balance on the lease payoff.

I then drove my new car to dependable auto shippers and grabbed a cab to the airport. My car arrived in AZ the same day that I received the title via fedex.

 

[MakeMineRed]

In '07, I purchased an BMW M Roadster from a guy in Denver, CO when I was living in Boston, MA. He had a lien on the car for around $20K.

It would have been great if we could have went to his bank, presented the check from my bank for his payoff and have them give me the title immediately. Unfortunately he used a BIG BANK, and once the lein is satisfied they send the title to the original leinholder.

We went to his bank on Monday, I presented the bank manager with a check to payoff the lein then presented the seller with the remaining amount. While we were at the bank the bank manager notarized the bill of sale.

The seller received the title from his bank about three days later and sent it to me via FedEx.

So for about four days I was really nervous....but it worked out in the end.

This is about as good as your going to get. You should not, however, of paid the seller the left over sum until you had title in your hand. This way, he has no incentive to keep the title.