Buying a NSX -- Bank holds Title...

[jond]

I found a NSX that I want, but the owner still owes on it so the bank holds the title.
The bank is USAA Federal Savings and is only in Texas. The owner is in PA.
How can I buy this car safely?
I want to pay with a certified check, but it seems like I'm going to have to pay him before I get the title in hand.
I called his bank and asked if they could accept a 3rd party escrow company, and they said no...


Any ideas how to protect myself here?

 

[DocL]

I use USAA to finance my cars and they are very good at protecting the owner of the car. If he still owes money, they will take the payoff amount from you, then they will send him the title. If you trust him, you can then pay him the difference when you go to pick up the car and he has the clear title in hand. When I sold a car that was still financed with USAA, I had the buyer give my attorney the payoff amount and my attorney then paid the balance of the loan. When I got the title, the buyer then FedEx'd me a certified check and I FedEx'd him the title. I involved my attorney because I felt that it made the buyer more comfortable in knowing that I wouldn't take the clear title and run off with the car and his money.

The only way these transactions go smoothly is if both people can be trusted and are men of their word. Otherwise the seller is going to have to come with the cash to pay off the loan and then you can cut him a check for the full amount of the car.

Good luck, and don't try to negotiate with USAA. They are a very secure bank and they only do what they think is best for their client. That is why I use them for everything.

 

[Dtrigg]

Agreed. I've used USAA for cars, household, jewelery, artwork, everything for over 20 years. They are great and really take care of their clients. You just got some great advice.

 

[kkim]

I would call the bank that holds the title, speak to them on you wiring the money to the PO's account for payoff, then have the bank mail you the ownership paper once they sign off on it.

 

[DocL]

I would call the bank that holds the title, speak to them on you wiring the money to the PO's account for payoff, then have the bank mail you the ownership paper once they sign off on it.

In a private sale, USAA will not send the title to anyone else other than the owner. I clearly stated that in my first reply so the buyer wouldn't get frustrated with the transaction. Trust me, I know how USAA operates and that's why I use them for everything.

 

[01a4man]

In a private sale, USAA will not send the title to anyone else other than the owner. I clearly stated that in my first reply so the buyer wouldn't get frustrated with the transaction. Trust me, I know how USAA operates and that's why I use them for everything.

DocL is correct. USAA backs its members and members only. There is NOT one bank that will ever send the title to the new owner. The bank will send it to the holder of the loan. From the way it sounds you have two options:

1: Trust the owner and complete the purchase

2: Pass on the car and find someone who has an NSX that you like with a title in hand.

Keep something in mind also. The title has to be signed over to you by the previous owner anyway. So, long story short talk to the guy some more and try and develop some trust with him. Good luck.

Chris

P.S. If you really have trust issues with this purchase then create a bill of sale with the cars vin number and get a notory(sp?) to endorse it so you have a legal back up in case something happens.

 

[NSXFreak00]

I did an internship with USAA in San Antonio once. They are all about their members!

I had an issue that is somewhat similar to yours. I am in TX and the car was in another state when purchased. The owner needed my money to pay off the loan to the bank so he can get the title. I was having my cousin pick up the car. He said he did not trust my cousin, said he will mail me the title and the car will be shipped as promised, all while he wanted a cashiers check for the entire amount of the car upfront. I told him thats a deal breaker, and if he wants to sell the car, he better be willing to compromise. He finally let my cousin take posession of the car along with a bill of sale, and I received the title by certified mail a few days later.

 

[ders2000]

Hello,

I just purchased a 2000 and had the same issues. For what it's worth, here's what I ended up doing.

1. Made payment to him at the bank with a bill of sale and notorized
2. He then signed over the title right away
3. We then went online and he made a payment for the outstanding amount with me verifying over him to make sure.
4. The next day the finance company faxed a lien release

Of course all of this was discussed beforehand along with making a contact at the finance company regarding the lien release. All in all, things worked out but I certainly had to stand over him to make sure he was paying off the outstanding amount. At the very least, it's another option for you to consider.

Good Luck!!

 

[heathbar0]

I purchased my NSX with the help of USAA Bank. Why not ask USAA if they would finance it for you and what the current rate is, if its a good rate this could make life very easy for everyone!

 

[01a4man]

I purchased my NSX with the help of USAA Bank. Why not ask USAA if they would finance it for you and what the current rate is, if its a good rate this could make life very easy for everyone!

Thats true. USAA has opened its banking side to the public. That would be the best thing for you.

 

[annointed]

I'm pretty sure I know the NSX that you're looking at.

Ironically, I just purchased my NSX through USAA this month. In fact, I've had four car loans through them, and have a mortgage, CC, car/home insurance, and bank account. They do indeed stand behind their members, and have proven themselves to me many times, especially compared with the other banks I do business with.