tonyatkayak

Hi everyone,
I'm quite confused on this process.

I want to buy a 2007 TL Type S off someone on autotrader. He still has a loan with Acura/Honda finance for another 24 months. I have a pre approved loan from capital one that said I can write them a check but how does it work? The seller only owes about 12k on the car and 13k will go to him. I have never done this before so I have no idea how it works. I just don't want to get tricked. Please help and walk me thru the process. Thanks!

Shoofin

Let him pay off the car and once he has a clear title with lien release, than you can buy it from him. Least headache for you.

vas25tl

The problem with that is often times, the seller won't have enough funds to pay it off himself.

Are you in a title holding state? Do you or the bank have the title.

When I sold cars previously, I paid them off at the local branch; that is not going to be the case with this since it's Honda financial. One time I had to send in the check on a car I was selling. The person wrote me a check, I gave them a signed title and the car (with a certified check after verifying at a bank). When I got the lien release, I just mailed it to them. This way they had the car, they had my title and I had the $. They just couldn't register until the lien release came.

It's tough in these situation because of trust issues. I've always financed my cars locally since then to make it an easier process.

vas25tl

Also, I'm not sure how Capital One works but I believe they need proof of registration before honoring the check, which you wouldn't have until you get the lien release.

Definitely try to get him to pay off the car and have a clean and clear title before writing a check.

Gfaze

The Capital One check should've come with instructions. It's long and a bit complicated but it's for your own good. You have to have a bill of sale, get it notarized, I forgot the rest, it's been a few years. You might want to contact Honda finance and work something out with them. They should be able to help you with your purchase.

FiftyFive

Did you get the Capital One "Blank Check"? If so i'd ditch it and go to a local bank or credit union. I tried to use that stupid blank check and finally just went to a local bank. It is a headache.

Shoofin

Whenever I pay off a lease/buy the car from the bank after the lease, I pay it off and request the bank to forward all correspondence to me and not the lessee, because I am the new owner. You can always pay it off yourself and give the dude the balance of what you owe him. If you can get away with not paying him the balance until you have the title and lien release in hand from the bank, do it that way to protect yourself. Only pain is you can't register the car until you get the paperwork back from the bank.

My in dealing with the bank is to overnight them the payment in the form of a BANK CHECK (Or certified/cashiers, whatever) and even go as far as putting in the envelope a return overnight for them to send it back to you. This insures that you will get the title/lien release quickly (within 5 business days) so you can register the car and enjoy your new ride!

tonyatkayak

I guess my concern is that the seller won't have the pink slip or anything. I just don't want to write a check for them to pay it off and then he tricks me. He said he doesn't have enough money to pay it off. It's just confusing. *sigh*

vas25tl

^Is CA a title holding state?

tonyatkayak

i believe so

mrmako

I'd say pay the finance company off and get the title and lean release in your hands. Then you swap keys for money with the seller. If you can swing this....

Eggplant-EX

when I purchase one my HOGS, the guy still owed. So I met him at the Bank that held title and they will do all the work to transfer. I paid off the lien and the Bank transferred title to me. All I had to do was pay him the difference after dealing with his Bank. Of course, he had to sign off to me too.

tonyatkayak

shit. i have no idea where acura financial is at! i just order carfax. let it begin!

carlos9827

iTrader: (2)

just go to the dealer and buy a car from them, you'll have much more negotiating power with that blank check from capital one than you think

Superb

Acura Finance is in Atlanta, GA.

I was just in this situation when selling my TL a few months back. I still had a lien on the vehicle. We were able to agree that he pay my loan balance, and we both had the bill of sale signed and notarized from the date the check was written. We also drafted another document stating that he was the sole owner of the vehicle from that date forward and as such was held fully responsible. I took the funds, and he took the keys.

I paid Acura, if you pay online it clears in about 3-4 business days. They release the title (electronically here in FL, not sure about your state), and once that is released, the new owner was able to go to the DMV and register the vehicle in their name.

The process took about a week, and Acura is very easy to deal with.

dallison

i didn't want to start my own thread. I owe less on my boxster than what i am selling it for. The buyer is from boston and i live in pa. What would the best option be in this case? I don't have 15k to pay off the loan so i have the title.

Gfaze

Who is the loan through? A local bank, credit union?

charliemike

So the bank/finance company holds the title? That shouldn't be an issue if they do ... If it's a bank, go to the bank with the buyer, have them pay off the car and I'm sure the branch can give them some sort of assurance that they now own the car free and clear and will get the title sent to them.

There might even be a form that can be filled out that will allow them to get tags for the car.

And use a bill of sale

dallison

the credit union holds the title. I know it takes a few days for pa dot to get the message that the lien has been lifted and the title has been released. I am thinking about a bank transfer and somehow doing a bill of sale somehow. I wonder if AAA could be of some assistance....

If we both go to the bank and he pays it right then and there he would still have to wait until the title is released to me.

fsttyms1

What i have done in the past is met the person at their bank, the check was written out to the bank, which they then took the lien off the title, gave me the new title he gave me the keys then the bank gave him the remainder of the money.

Eggplant-EX

I bought a bike where he still owed. We went to his Credit Union and they took care of everything. I paid off the debt at the Credit Union, then I paid him off with the rest.

The Credit Union did the transfer.

neuronbob

I bought my S2000 from a guy who still owed. We went to a branch of my bank to have the cashier's check drawn out in front of him (I insisted). We went to the seller's bank and I paid the bank directly. They then immediately gave me the title, and I took it to the auto title office for title transfer. Because his loan was at a local bank, the title was physically on the bank premises, so that made things REALLY fast and easy.

dallison

I have a guy who is very interested and will be coming on SAT. and may take the car home. I'll call his bank to verify the funds and we'll sign a bill of sale and i'll mail him the title once it's sent to me........