Am I allowed to sell it if i still owe on the car? What are my options?
2007-11-22 05:28:39 · 15 answers · asked by joeyadler2266 1 in Cars & Transportation ➔ Buying & Selling
you have to pay the bank to get the title, so yeah you need to pay them.
2007-11-22 05:31:07 · answer #1 · answered by Anonymous · 2⤊ 0⤋
Some people want to get a new car but owe too much on the one the now own. Most dealers will sell you a car with a loan that also pays off your current car loan.
2007-11-22 13:35:57 · answer #2 · answered by Dennis Fargo 5 · 0⤊ 0⤋
The car is never yours until you pay it off. If you want to sell it call your bank and ask them what the procedure is. Most of the time I finance with a credit union and they will do all the transaction for you and the buyer at there offices. The buyer can pay cash or bring a cashier check. They will in turn release the title to the new buyer or to the new lien holder if he finances it.
You can pay it off if you want but that is only if you want to have the Title in hand. It's all the same there is still a transfer of ownership with title or without. Just a little paperwork with out title in hand.
I sold a Toyota Tundra SR5 4WD that was being financed with Toyota Financial Services. Amount owed was somewhere around 21800 and sold it for 22000.
I live in California and the buyer was from Utah. He was just released from active duty. I called TFS and they said they wanted a cashiers check from the buyer and documentation of change of ownership. The buyer had his credit union give him a loan. Cashier's check was sent to TFS. I got my loan paid off plus a little cash back for the difference that i owned. I was released of liability. The buyers Credit Union got the title and he in turn got the registration with his name on the registration / with Credit Union as lien Holder.
2007-11-22 18:30:48 · answer #3 · answered by Andres C 2 · 0⤊ 0⤋
I have done this many times.
While you do own the car, the bank or finance company will have a lien on it.
If the buyer finances the car, or runs a check, they will easily find the liens, and the check is to be made out to both you and your bank. Both of you must sign the check for it to be valid.
Most all buyers ask for "free of all liens" on the bill of sale.
If you do sign a bill that states this when it is not true, you will be charged with fraud.
So, in short you will have to pay the finance company off before you get any money.
2007-11-22 13:41:55 · answer #4 · answered by Bert from Brandon 5 · 0⤊ 0⤋
if you sell the car while you are still doing payments on it, you would have to immediatly pay the car off. You are allowed to sell the car if you owe money on it, but depending on the car this could be a loss of money because of the financing terms.
For example your car might be worth 15 thousand but you owe 25 thousand, this could be due to financing terms or the fact that your car is worth alot of money and you decided to make monthly payments instead of paying off in bulkier payments
2007-11-22 13:33:57 · answer #5 · answered by Anonymous · 0⤊ 0⤋
u don' t own the car yet, the bank still does, you can sell it, but you need to seriously think about this. If the car is 10000 and you sell it for 7000 you still owe the bank money on a car that you don't owe. so think about it and think hard
2007-11-22 13:32:21 · answer #6 · answered by Nattiedred 3 · 0⤊ 0⤋
The original loan would have to be paid off in order for the title to transfer to the new owner. Since the car has a lien on it then you don't own it, the bank does. Once the original loan is paid in full the title will trasfer to the new owner or the new fiancier.
Good Luck!
2007-11-22 14:19:49 · answer #7 · answered by CactiJoe 7 · 0⤊ 0⤋
Very few banks will give a car loan without securing the debt by placing a lien against the title. You can't give a good, clear title to a new owner while there is a lien on it, so you would have to pay off the loan.
2007-11-22 13:33:00 · answer #8 · answered by curtisports2 7 · 0⤊ 0⤋
No, the original loan(s) get paid off when you sell the car. If you are upside down in the car - owe more than you are getting by selling the car, the difference is wrapped into the new loan.
2007-11-22 13:32:12 · answer #9 · answered by Dan H 7 · 0⤊ 1⤋
You call the bank, tell them what you are doing because they hold the original title and it has a lein on it. When you sell the car, do the transaction with your bank and they will satisfy your loan and release the title to the buyer.
2007-11-22 13:32:03 · answer #10 · answered by Anonymous · 0⤊ 0⤋
Yes, you have to pay it back right away. Because the bank owns that car until you pay them back. So you can't sell someone else's property that you haven't payed for.
2007-11-22 13:31:57 · answer #11 · answered by Laura 5 · 0⤊ 1⤋