I put my car up for collateral for my fiance's motorcycle. Now the only thing I own on my own is tied up under his name. I hate my car now and want to trade it in. But if i do, it will pay off his loan instead of helping me buy a car. Is there anyway to get my title off his loan before pay off?
2007-08-27 05:25:00 · 7 answers · asked by lheartorangejuice 2 in Cars & Transportation ➔ Buying & Selling
Is there an option of refinancing the loan?
And..
I'm under the assumption that if they take the trade in, they will pay off the loan for the title. Is that correct?
2007-08-27 05:41:14 · update #1
OK, I'm assuming you didn't have a balance owed on your car and you just gave a third party the title in exchange for the motorcycle loan.....
The best outcome would be for your fiance to refinance the motorcycle and put the loan in his name, which will use the motorcycle as collateral instead of your vehicle. If you want to use the car as an actual trade, you would have to put the lien holder as where to mail the payoff check.
The problem for you is that once they pay off the motorcycle loan to free up your car, you will basically transfer the balance he owes into your loan, meaning you will be paying for his motorcycle as well.
How much is the motorcycle loan amount? What was the reason they wouldn't accept the motorcycle as sole collateral? I hope we can help.
http://www.theautoevaluator.net/Refinance.html
2007-08-27 05:56:11 · answer #1 · answered by The Auto Evaluator™ 7 · 6⤊ 0⤋
You will have to get your BF to refinance the motorcycle and pay off the first loan. This time, don't use your car as collateral on the loan. Then you will be able to get a lien release and get it filed through the clerks office then the title on your car can have the lien marked as void.
even though you hate the car, you may want to keep it as long as it is running. With the two of you starting out, there will be other expenses and better things that you can use the money for instead of paying interest on car loans.
good luck.
2007-08-27 05:48:07 · answer #2 · answered by Fordman 7 · 0⤊ 0⤋
You are going to have to pay off the motorcycle loan first in order to release your car as collateral.
2007-08-27 05:34:39 · answer #3 · answered by Anonymous · 0⤊ 0⤋
the pitfalls of combining loans.
Your option is that you can trade your car in and add the mortorcycle in on that loan using both as colateral on the new loan.
other than that sometimes but very rarely will a loan company release one vehichle off the loan for a set amount of money
Meaning if you owe 20k for both they might take 17k to release the car from the lein. your best option is to re combine the loan and get your not so better half to pay off the bike
2007-08-27 05:38:24 · answer #4 · answered by Anonymous · 1⤊ 0⤋
Not really, the motorcycle loan has to be satisfied in order for the title to be clear before trading or selling the car.
2007-08-27 05:30:28 · answer #5 · answered by Flip's Girl 4 · 1⤊ 0⤋
Yes, you can sell it without a title but you need to disclose that you're seling it without a title. Whoever buys it will not be able to drive it until they get a title for it. So you might have a hard time selling it or might not get as much for it because people won't want to deal with the hassel & they may not believe you own it so they're taking a risk. So your best bet is to go to a tag agency with all the info, vin number, insurance etc & they can order a new one for you or contact the DMV
2016-05-19 01:52:06 · answer #6 · answered by ? 3 · 0⤊ 0⤋
Your question should have been "what should I have done" and not "what should I do". You are SOL. Too bad, so sad.
2007-08-27 05:38:01 · answer #7 · answered by Anonymous · 1⤊ 0⤋