Overhaulin'

BUYING USED CAR FROM PRIVATE SELLER WHO HAS A LOAN ON THE CAR?

I want to buy used car from privet seller who owns $12K on the car to Capital One. My plan is to write up bill of sale and both of us would sign it at notary office. I would pay him using bank check. SO, WHAT COULD GO WRONG? If seller doesn’t pay bank back can they take the car? What else I would by worried about? THANKS

Public Comments

1. The seller could keep the money and spend it on something else. The car gets repossessed so you are out the money and the car. The seller could pay the bank... then refuse to transfer the title to you. So you are out the money and the car. TOO RISKY!!!!!!!! Just go to http://www.autotrader.com and look for a low mileage car in the $12k range. And never hand the money over until they hand over a CLEAR TITLE!!!!!!!
2. Would avoid that situation too risky for you!
3. If you are getting a loan through a bank, the check will need to be made out to the leinholder....IE Capital one. If you are going to purchase the car I would consult with the notary first and make payment whenthe title is being transfered. When you get the loan the bank should help you out to make sure it is a legal deal.
4. Another option would be to go with the seller to the bank to pay off the loan and have the title signed over to you there.