I'm traveling 300 miles and I'm buying a Corvette. Owner says we will go to his credit union and I will receive a document stating lien release. I'm paying cash and bank check for the car. Is this a safe transaction for me. I probably won't be walking away with the title ? What will I walk away with ? Car, yes, bill of sale, yes. What else ?

The seller needs to take the title and lien release to the DMV and obtain a clear title then sign it to you. In this situation, you may be taking a risk. I wouldn't be comfortable with this situation leaving without the title. Might be fine but....

As long as you have something from his financial institution showing a satisfied lien, you'll be fine. Soon after, you will recieve paperwork in the mail to go ahead and register the vehicle in your name. Make sure you stay on top of his bank and have them overnight and NOT mail the docs for registration to you, but get the lien release on the spot, no question about that. Don't worry, as long as there is a federal financial institution involved, you'll be fine. I've done this before.

So I take the loan release document and the title that says lien on it to DMV to get regular title in my name. Does he sign the title he has that says lien on it ? What does the financial institution care if I register the car ? I'm in NY now and I plan on registering it when I get to Florida in November. Will this be a problem ? I'm not taking over the lien I'm buying outright.

Waiting months with an unregistered car is probably not a good idea, but I'm not a lawyer. I'm assuming his credit union is his lien holder. In my state, I get the lien release letter and a title transfer note (the title transfer is what may take his bank a couple days to generate and overnight to you), but I've also gotten them on the spot. I take those to the Secretary of state office to have them issue me a clean title. Sounds to me like someone with knowledge of NY laws would be more helpful to you. Good luck, but don't let the confusion kill your deal. Get as much documentation as you can from his bank.

As rob says the Credit Union is probably the lien holder. Meaning he financed it through the Credit Union. To obtain the title all that is required is to pay the lien off. Basically that is what will be done when you right the check to buy the car. Disclaimer: That is what I think is happening in this situation. You can get the phone number of the Credit Union, and give them a call to get the real facts easily enough. Good luck.

I'm wondering if he needs to get the clean title. I'm concerned I might not be able to get the title in my name because the back of the clean title is not signed by him.

What normally happens is that the financial institution notifies the DMV that the loan is paid off. THEY sign the title which is in their possession and send it to the DMV who then issues a title in the owner's name. The owner then receives the title and must sign it over to you. Basically it just arrives in the mail. It can be a lengthy process time wise. Call the credit union and see what they do in the circumstance you outlined. They MAY be able to sign over the title directly to you when it is paid off, then you take the title to the DMV to get it changed into your name. Get the Credit Union involved here.

This very much depends upon the state. NC is a one title state meaning the lien-holder keeps the title in their possession until the loan is paid. When the loan is repaid they sign the lien release section then return it to the owner. No need to notify DMV. In the case of a purchase, both the current owner and lien-holder would sign the title then hand it to the buyer. This could be a challenge because the local branch probably doesn't have the title onsite when you walk in to complete the transaction.

John, Have the seller to call his CU ask if they have the title in hand are if it is at like at there main office that is away from that building. If away ask him to get his loan office to get the title sent to them now & have it when you guys get there if possible.

From what ever state you are in & the seller. Get a bill of sale sign from the seller to you, Then when you get home with the car you can go to the state highway patrol office in your town & cost is like 25.00 are what ever for 30 days only until you can get the title from his CU.

Are if you can get the title when you pay off his loan in hand you can get him to sign bill of sale are sign the title as seller take that to your tag office in your town & get it into your name all is good..

He said he has the title in his name but it is probably branded lien. He just told me he signs that document and I'm given a lien hold release form. Hopefully this is correct. Picking car up Monday.

John, be wary of advice received on the Internet. All states are different, and I don't know what your state (NY, FL?) requires. I will strongly suggest, as others have, that you don't wait several months before transferring the title. That can cause some issues, seriously.

When you pay the lien off at the credit union get a copy of the check and any other documents showing that the lien is paid off. They will then send the title to the owner, he will have to sign it and forward it to you. Usually banks and credit unions don't keep the title at their location.