Buying a bike with a lien...

[blacksmith]

Anybody have any advice on how to approach purchasing a used bike from someone whose title is held by the credit union still (since it's owned by the bank and he's making payments)? Do I contact the credit union and work with them or what? Any advice appreciated.

Thanks guys.

 

[sparky300]

1. You and the seller both go to the CU.

2.You hand him the $$, he hands it to the agent,

3. She applies the $$ towards the loan amount & releases the lien on the title and hands it to the seller,

4. He then signs & hands the title to you

All this of course depends on the agreed sale price and the outstanding amount on the loan. Sold my car yesterday in the same manner. Hope it helps

 

[jefferyfriso]

I bought my buell from a guy who had a lein on it. We had to meet in jefferson city after I looked at the bike to pay it off. Since I paid cash, the bank issued me lein release right then and there. Insist on going to the bank to pay them, don't trust someone to send you a lein release. If ur seller is legitimate, he should uave no problem meeting you at the bank.

 

[blacksmith]

Great advice. Thanks for the help. [up]

 

[sparky300]

Edit: It also helps if your wife is AVP of Deposit Services, lol. GL, hope you get it!

 

[Alfatango1]

3. She applies the $$ towards the loan amount & releases the lien on the title and hands it to the seller,

4. He then signs & hands the title to you

What bank has the titles sitting at the branch? You're going to have to wait for that for sure.

 

[sparky300]

Didn't say branch, and if it's a local CU it's likely that they can go to the main office (if they call ahead & make arrangements) and they can have the title pulled from file and ready to go. If you pay by cashier's check it's all but guaranteed, be advised they may not accept a cash payment as few will do that. Go ahead, make a couple phone calls. Simple.

 

[Alfatango1]

Didn't say branch, and if it's a local CU it's likely that they can go to the main office (if they call ahead & make arrangements) and they can have the title pulled from file and ready to go. If you pay by cashier's check it's all but guaranteed, be advised they may not accept a cash payment as few will do that. Go ahead, make a couple phone calls. Simple.

You didn't say main office either and a lot of credit unions are huge. I deal with Navy Federal all the time and there's no way you're getting a title "Today"

 

[sparky300]

He won't know if he doesn't ask

 

[buell05]

In most cases the bank/cu wont have the title there. If its a local guy you can go to bank make sure the satisfies the loan, get a signed receipt for your payment as well as a bill of sale signed by you and seller and notarized by an employee of the bank tranferring ownership to you and stating the title will be transsrred upon receipt. If he tried to renig the bill of sale becomes a legal doc that would protect your interests in court.

 

[firefighter1c57]

depends on the state too. In Oklahoma, the owner has the title, it has lien on the title, but the owner holds it, not the bank. All you'll get from the bank/credit union is a lean release slip, take that with the title to the tag office and when the tag office mails you the new title, the lien is dropped from it. If you're not selling the vehicle, you simply staple the lean release to the title.

 

[stwings]

depends on the state too. In Oklahoma, the owner has the title, it has lien on the title, but the owner holds it, not the bank. All you'll get from the bank/credit union is a lean release slip, take that with the title to the tag office and when the tag office mails you the new title, the lien is dropped from it. If you're not selling the vehicle, you simply staple the lean release to the title.

that's how it works here in MI too.

 

[uly luigi]

^here in Ms./Al. too

 

[Monsterron]

My credit union has the title to my buell.It is a very simple process that takes maybe 15 minutes. Cash
or verifieable check works. I sold a bike out of state and had it shipped to a guy in mexico. I gave him the name of my loan officer and he wired the money directly to the credit union.all i had to do was sign the release at the credit union. The credit union faxed a bill of sale and mailed the title.