buying a motorcycle with outstanding finanace

[norrylawyer]

What is the name of your state (only U.S. law)? CA

I am trying to buy a motorcycle but the seller has outstanding finance and therefore no title. According to the finance company, if I pay off the lease they will send title to the seller who can then transfer title to me.

This makes me nervous as I will have paid the money without the agreement and have to rely on the seller to honor the transfer of title although I would physically have the bike.

Is there some form of words in a signed letter that can afford me some protection or any other solution?

 

[justalayman]

, if I pay off the lease they will send title to the seller who can then transfer title to me.

lease? a lease does not afford the lessee any ownership rights.

So, that begs the question: is this a leased motorcycle or simply a purchased bike with a lien on the title due to the loan?

 

[norrylawyer]

sorry, it's a purchased bike with a lien on the title due to the loan. The bank said they would send the title to the seller when the loan was paid

 

[justalayman]

so, you take a cashiers check for the amount the selller owes on the vehicle made out to the lender and a check for the difference between that and the amount you are paying the seller and you go to the finance office and hand them the check for what they are owed and they will sign a release of lien and hand the title to the owner. He then accepts your check and signs off the title to you and you are on your way.


personally, unless this was a person I trusted with whatever amount of money you are paying for the bike, this is the only way I would make the transaction.

(of course there is the obvious, he pays the lien and gets the title and then you buy the bike from him, you get the title, he gets the money)

 

[norrylawyer]

Thanks, I very much appreciate your help!!