Car needs work done to it, hence damaged.. He was about 4grand for it, but has a loan of 9grand. any way i can get the car register without him taking a second loan on it?
Responses (2)
It usually isn't worth the trouble to buy a car with an existing lien.
The owner must pay off the loan in order to give you clear title. if you purchase a vehicle outright and there is an outstanding lien in place, there is a possibility of the vehicle being repossessed from you through no fault of your own. Rather, it could be repossessed if the seller doesn’t fulfill the duties of their loan.
To transfer the title, register and insure it, you will probably need the lender to release their lien on the car.
You can go with the owner to the lenders, and watch as he pays all but $4000 on the vehicle. You can then give them the remaining balance while the seller signs over the title. The lender will then give you the release. Unless all 3 are party to the transaction, a lot of complicated contracts would be required.