Buying a bike which has a lien against it.

[Wolf]

Want to buy this bike, but the seller is the original owner (2 years) and he financed it, so there's still an outstanding balance and the bank is the lienholder (Yamaha Finance).

What's the best way to handle this? I was thinking about getting the payoff amount then getting a cashier's check from my bank made out to the finance company for the payoff amount, and giving him the check and the rest in cash.

I'm sure he's above-board, but I'm nervous giving him cash for the entire amount with only a bill of sale.

 

[packnrat]

can the two of you do a (three way) phone call to the finace company?

i have been the seller for such sales, but sure the buyer was nerves.

get everything in writing. leave nothing out.


NO cash.

NO money orders.



personal check only.

maybe a third party money holder?
but they want a fee.

.


.

 

[Wolf]

can the two of you do a (three way) phone call to the finace company?

i have been the seller for such sales, but sure the buyer was nerves.

get everything in writing. leave nothing out.


NO cash.

NO money orders.



personal check only.

maybe a third party money holder?
but they want a fee.

.


.

The seller is a student here at UT and says he selling the bike because he has realized that he needs a car. Was going to type up a bill of sale specifying that I'm buying the bike from him for X amount, and that he will use the money to pay off the lien, and that he is solely responsible for any existing lien, etc.

However, I don't know how legally binding such a document would be should he choose to keep the money and flee to mexico or something.

I'm sure he has no ulterior motives and will pay off the lien and forward the title to me once he receives it (he says it will take ~7 days once paid off), but my original plan to pay him cash has somewhat faltered since I found out about the lien.

 

[rangelol]

However, I don't know how legally binding such a document would be should he choose to keep the money and flee to mexico or something.

You would have the bike at that point, and hopefully some documentation to find the dude if he did flee?

 

[mrzuzzo]

When I bought my BMW the previous owner also had a lien on it. However, I was the one that received the title by mail.

You can fill out paperwork to get the title and go pay it off at the guy's bank together and put your address and name as the mailing address.

 

[Wolf]

I asked the guy about this, and he was hesitant to give me too much personal information until after we'd met (think he's also worried about being scammed).

We're going to meet up on Sunday. arty


dat FZ8 WILL be mine. :ride:ride

 

[Wolf]

You would have the bike at that point, and hopefully some documentation to find the dude if he did flee?

But the bank would still be the legal owners of the bike and if they don't receive payment, they'd be entitled to repo it.

 

[Wolf]

Gratuitous FZ8 Shot:

Awww yissss..... :applause:drool:hail

motherfuckin' breadcrumbs!!!

 

[Lex2go]

I've purchased a bike that had a lien on it. I had the bill of sale notarized by the seller and myself. We went to the bank and got a cashier check made payable to the bike's lien holder, the full amount of the payoff. We both went to FedEx and mail out the check.

 

[Wolf]

I've purchased a bike that had a lien on it. I had the bill of sale notarized by the seller and myself. We went to the bank and got a cashier check made payable to the bike's lien holder, the full amount of the payoff. We both went to FedEx and mail out the check.

Yeah, I asked the guy for the payoff amount so that I could get a cashier's check made out to the bank, but I think he was worried it'd be a scam check or something... he said let's wait until we'd actually met up and I'd seen the bike (and met each other) before we decide on payment methods.

I mentioned something about him fleeing to Mexico with the money, and he replied how does he know I wouldn't do the same. Sounds like he's just a nervous kid, which makes me more confident that it'll all work out. :thumbup

(sent him my name, address, phone, and DL # as a way of calming his fears)

 

[antwon412]

I just sold my bike this way. Meet him at your bank. Have him wire transfer the money to the finance company.

My finance company was able to send him the title directly once the lein was paid off. I had to notify them in advance and get some account numbers and wire transfer info. The buyer got the bike, a bill of sale and a copy of the wire transfer.

It was pretty easy.

 

[explorin]

If it's financed through yamaha, you can go to any HSBC bank and pay the lien and they will print out a title on the spot.