Need some help...selling a vehicle to individual

[Birddog1911]

I've got a guy who wants to buy my motorcycle, and I've never sold to an individual before. I do owe 2 more payments on it, so help me walk through the process here.

He pays me; he's giving cash and a check.
Once check clears, I'll give him the bike, and pay off what little I still owe.
Once lender sends me the title, I sign on the back, and give it to him.

Am I missing anything? Anything that I should do differently?

[StagLefty]

If I was the buyer and didn't know you personally I'd want the title upon payment. JMHO

[Mtn.man]

You can give him a Bill of Sale, and then send the title when you get it. Been taking about 7 to 10 working days for title work from the state.
Wait on check to clear of have him go to bank and get bank check.

[Birddog1911]

His bank isn't local, so the best he can do is a check. I have no problem with that, and he knows that it will have to clear before anything happens. I am planning on writing up a bill of sale.

Stag, could you explain how I'm supposed to give him a title that I don't have in my possession?

[killianak9]

If I was the buyer and didn't know you personally I'd want the title upon payment. JMHO
+1
Option 1;if he's buying it out right without financing, you both go to the bank /credit union where you got the loan with a bill of sale and your bank will have you sign a notarized letter stating you have sold it to buyer, funds clear and bank releases title to new buyer.
option2; payoff what you owe now, wait for title to be mailed to you, create a bill of sale, get cash, sign title over to new owner.
Option 1 is probably the cleanest and Covers both parties concerns of possibly getting screw.IMHO

[sniper7]

You can also pay off the bike now, get the title then do the transaction.

But if he wants it now follow Mtn mans post.

[ruthabagah]

You can give him a Bill of Sale, and then send the title when you get it. Been taking about 7 to 10 working days for title work from the state. Wait on check to clear of have him go to bank and get bank check. +1 to this one BUT, looks like the DMV will not take any kind of Bill Of Sale anymore. I sold a used vehicle recently and we had to fill the DMV's BOS because they added some legal terms to it, and the one I have always used was rejected and is no longer valid. Also: NEVER Accept a personal check! Cashier check, or cash only.

[funkymonkey1111]

Stag, could you explain how I'm supposed to give him a title that I don't have in my possession?

how is works is you pay off the bike and get the title and give it to him at the time of sale.

[Birddog1911]

Right now funds don't allow me to pay off my bike until I receive the payment from him, so getting the title right away is not possible.

I'll call up my insurance agent and see what she might suggest as well.

[Rooskibar03]

Save yourself the headache and have him make the payment to the lender who holds title. Then you remove the time for funds to clear your bank. Expect 2 plus weeks for a bank to get a title to an individual, (they are much faster with dealers)

I would do the bill of sale now and note that buyer has submitted payment to bank for lien release.

[StagLefty]

Stag, could you explain how I'm supposed to give him a title that I don't have in my possession?

I'm just saying that if I didn't know you I wouldn't buy it unless I got title on payment. If he's willing to accept your terms so be it.

[CO Hugh]

Most of these cover it quite well. If I was the buyer I would want the protection. One suggestion call the lender get a payoff statement, and find out what their process is to release the title. If possible have the buyer write the check to the lender directly with an instruction letter to send him the title.

Then no waiting for middle men, and checks to clear, and everyone is protected.

[Birddog1911]

Most of these cover it quite well. If I was the buyer I would want the protection. One suggestion call the lender get a payoff statement, and find out what their process is to release the title. If possible have the buyer write the check to the lender directly with an instruction letter to send him the title.

Then no waiting for middle men, and checks to clear, and everyone is protected.


Probably the best way to go, since the lender is out of town as well. Thanks.

[ChadAmberg]

Last time I did this, I did it right at my bank that had the loan (and therefore the title) so he gave a check to the bank for the full amount, the bank gave me the balance of what wasn't owed, and the bank signed over the title directly to him.

But I'd simply pay off the loan now, get the title, then sell it to him, it's so much less hassle, even if you have to wait a week or two.

[SideShow Bob]

None local bank ? Wants to give you a check . No deal....... Go with him writing the check to your lender to pay off the loan and cover your ass from a scam.....

[coldaudio]

Don't take a bank check unless you're at his bank. My aunt is a VP with a big bank and they get TONS of fake bank checks.

[centrarchidae]

As a seller, I wouldn't take anything but cash. Even when a check "clears," a bank is free to decide, later on, that it wasn't good after all. I don't think there's a time limit on that either.

As a buyer, I wouldn't buy a bike without a title, period.

If he's willing to trust you on the title, that's his lookout. You being a poster here suggests better honesty than the average Craigslist poster, but I would not take a check from someone I didn't know, ever.

[dirtrulz]

I would at least go the rout of going to your bank with him, having him pay off the balance of the loan and the bank can have the title put in his name after the funds have cleared. It should take some of the risk off of you. If their check doesnt clear he doesnt get the title. I have had friend with good standing with the bank go in and the bank has converted the remainder of the loan into a personal loan so he can get the title and then pays off the loan afterwards. You could also give them something else for collateral and they would release the title.