Triumphrat

sprintboy · 09-26-2007

Hey all,

A question I want to throw out for your feed back,

I have my eye on a used motorcycle, I've ridden it, and agreed on a price the only problem is it doesn't have a clear title. the current owner is making payments on it and can't get the title until I give him the money or wire it to the bank. The loan is with a credit union that doesn't have a branch around here so going there together and making the deal isn't an option.

The possible agreement at this point is to have him bring the bike to me and leave it with me. I'll wire the money to the bank, the bank will mail the title to him. he'll sign it over to me and mail it to me. this could take two to three weeks.

Is this a good thing to do? a scam? it is a gamble for me because I may never see the title. I'd love to get some perspective on this. and welcome your thoughts.

help me out here, do I do it or not?!

Sprintboy

pineygroveshop · 09-26-2007

I have no experience with such matters; however, you are doing the right thing by asking questions.
I wouldn't act until you get more feedback. Slight fish smell here.

steventhechef · 09-26-2007

Even though the bike is in your possession doesn't make it yours - it will be the credit unions until it's paid out.

If it is an option and checks out, can he transfer the debt to you? Then you could pay it out.. I am not sure how it works on your side of the pond..

If this guy doesn't do the right thing, you'll be out the $ and the bike if you're not careful..!!

IMO. It's not worth it. There are heaps of other bikes out there..

My $0.02 AUD

Normandy · 09-26-2007

The Chef has got your back.

Sprint1050DA · 09-26-2007

Call his insurance company if you want to check on the title. They will definitely know whether it is clear or not. Through the bank I work with you can't buy something from an individual if they hold the title, only if their bank holds the title. Weird, but that's how they have it worked out.

Diego · 09-27-2007

Sprintboy, even though you may not be able to go to the credit union, you should at least call them and see if they can work with you and their member in some way. Don't expect to be able to take over the loan, as they couldn't do that for a non-member in any case, but I assume you're prepared to pay cash in full anyway so that part shouldn't be a problem.

The normal practice when you're buying from someone who still owes on a note is to execute a bill of sale that specifies each party's responsibilities in the transaction. That works OK if you and the other person live close enough that you can nudge him (if necessary) to do his part at the agreed-upon time and circumstances. Even though it'd be an added expense, you might want to have a lawyer draw up the bill of sale, to be sure that it is fully enforceable if the other guy tries to weasel out after getting your money.

sprintboy · 09-27-2007

Thanks for the advice everyone. I think I'm going to pass on this one, it's a tough decision though. on top of the previous information I gave the seller is a military guy and is moving out of the country, so should anything go wrong it'll be even harder to get a hold of him should I need to.

There will be other bikes out there and winter is on the way so there's no hurry.

thanks for the input!

Sprintboy

steventhechef · 09-27-2007

Best choice IMO

B02S4 · 09-28-2007

It never ceases to amaze me how private sellers offer to sell a bike that they don't have clear and unencumbered title to in-hand. It's even more amazing to me that some buyers pursue such transactions. Unless there is some really compelling reason to consider it, I personally suggest passing.

Risingstar · 09-28-2007

I have a friend that owns a car dealership. I'm selling my truck that I just bought 6 months ago, so I obviously don't have it paid off. I asked my friend how this works and he gave me 2 forms. I have a Bill of Sale that says "Vehicle/vellel Transfer and Reassignment Form" on top and the second form says "Authorization for Pay-Off". This form has the company with the title to send it to the new owner once they get paid. He said you call the company to get the pay off amount. How it gets paid is decided by the buyer and seller. I would have the seller pay their part (if they are suppose to), get the quote for the rest of the payoff, and send in the rest directly to the company.