Financing out-of-state, private party with credit union

[Ojas]

Guys and gals, the local credit union I bank at has a very attractive auto loan rate and I would like to take advantage of this for my NSX purchase. The car I intend to buy is out of state and is owned by a private party. My plan was to fly up there, give seller check and drive back with the car.

On my end, everything is approved and ready to go. However, the loan coordinator at my credit union needs to have the original title before they can issue the check, which they can mail directly to the seller or allow me to deliver when I pick up the car.

The problem is the seller is uncomfortable mailing his title to the credit union before he receives the check. I've already explained the situation to the coordinator, but there's no wiggle room with this policy.

Can you think of anything I could do to help put the seller at ease and finalize the deal? Or is the credit union's policy asking too much? I'd truly appreciate any suggestions.

 

[OneRedNSX]

Re: Financing with out-of-state private seller

when I have gotten auto loans before the bank (credit union) gave me a check and the title was sent to them by the DMV when i registered the car. i think you bank is askling a lil too much there.

 

[TyraNSX]

Find a different credit union/bank. They should be able to give you a bank check made out to seller. When you register it DMV should record a lein on the title and send it to your bank.

 

[robr]

I beleive what your bank is asking for is unusual, if not a near impossible condition. What seller is going to give you a title before the vehicle is paid for? I went through DCU for my NSX and I just had to mail them the title after I registered the car.

After I had the car checked out, DCU gave me a check, I mailed the check to the NSX owner (scary), he sent me the title, I insured the car and had plates issued, flew out to pick up car, drove it back, received new title back from DMV and mailed it to DCU afterwards. They were never even listed as a lien holder on the title.

 

[cash84]

My bank only just asked a copy of the title when I first purchase a car. Maybe either the bank understood or you. Double check that. If they are right from what you stated then I would get a different bank thats kinda iffy

 

[Wheelman]

Get a different bank or try Capial One Finance online. It was a smooth transaction for me. Your bank is asking for the cart before the horse. Just nearly impossible.

 

[omeys_berlina]

see if he can fax a copy of it to your bank. If not, see if he can deliver it to you. Or he can pull a "lost" at the DMV and they will issue him a new one, so then he will have two of them, have him send you an extra one.

 

[Ojas]

Thanks for the feedback - it confirms that my CU was asking too much.

Yeah, the seller already provided my CU with a copy of the title, license, bill of sale, etc. and verified it with the DMV. I think they are not used to dealing with many out-of-state private party loans. So today, I told the CU their request is not realistic for this type of transaction and that I have no choice but to use another bank. The loan coordinator spoke with the president and now they will accept a signed copy of the title (even though they previously insisted there was no way for them to issue a check w/o the original title).

So, everything's taken care of now. Thanks again.

BTW: Capital One has been my backup plan. Yeah - their blank check makes things much more smoother, but they can't come close to the CU's rate. Going with another bank, then refinancing it with my CU was the other option I was thinking of.

 

[Wheelman]

I went with Capital One then 2 months later E-Loan offered to refinance it no charge with a ridiculously low rate. So it's all good! Glad to see everything is ok...now can't wait to see the new ride!

 

[len3.8]

He could have sent them the title unsigned, as well as a Notarized Power of attorney, allowing them to sign the title on his behalf after getting the finances cleared, this with a Notarized bill of sell stating the same, or he could also have done this with a lein release form.. They were covering themselves as well as you... Not a big deal, as far as Missouri was concerned.. So states vary..
Glad that you got things sorted.. enjoy the car...