Sale of Vehicle Advice

[P M]

I have a vehicle I am going to sell. Bank still has the title. Would like to sell privately vice trade-in or to a dealer. What is the best method to conduct the transaction so the seller is comfortable purchasing even though I don't yet have the title? I've done this before, but can't recall how I did it... Maybe the seller paid the bank directly (at least the portion left on the loan)? Hints, tips?

 

[Kevin Palmer]

I assume you have a memorandum of Title. If so, you supply that as evidence that the bank has the title as collateral and do a quality Bill of Sale. Within the Bill of Sale you make it clear that the money will be going to the bank to pay off the loan.



In most cases, the person buying it will make the check out to the bank, not to yo.



Also, if you both go to the bank it is MUCH easier as they will do most of the work for you and get the buyers details and send him the title when it comes in..

 

[gary s]

each state is different.

as the buyer i would prefer a "clean" title or a title with a lien release from the bank.

if you do the trade in, the dealer will take care of clearing the title. also you will save the sales tax value on your trade in.

good luck

 

[P M]

My issue is I do not need another vehicle right now, so going through a dealer is not really viable. Certainly won't get as much. Being out of the country for a year, I have no need to keep a vehicle with taxes, insurance, payments, etc. Would like to do the sale, but make it comfortable for the buyer.

 

[Kevin Palmer]

Contact the lean/loan holder direct, I bet they have what you need and will give you very good advice as this type of sale happens often.

 

[P M]

Contact the lean/loan holder direct, I bet they have what you need and will give you very good advice as this type of sale happens often.

Absolutely, that's on my to do list.