Question about selling a privately owned vehicle.

[Guest sjones]

I am in the process of selling a vehicle. I have a prospective buyer

that wants to pay me 75% of the money up front and pay the remaining balance to me over 3 months with me holding the title until they have paid it off. I have a couple of questions regarding this. 1st, how would the insurance on the vehicle work if when I am keeping the title.

2nd) If for some reason i decided to do this and he didn't pay off the remaining balance, could I just come take the car back or would it be more involved than that. Im really leaning towards not accepting payments but I thought I would ask.

[MarvBear]

I am in the process of selling a vehicle. I have a prospective buyer

that wants to pay me 75% of the money up front and pay the remaining balance to me over 3 months with me holding the title until they have paid it off. I have a couple of questions regarding this. 1st, how would the insurance on the vehicle work if when I am keeping the title.

2nd) If for some reason i decided to do this and he didn't pay off the remaining balance, could I just come take the car back or would it be more involved than that. Im really leaning towards not accepting payments but I thought I would ask.

 

I would not advise you "hold" title.

 

There are likely legal ramnifications if you do it that way and "something" happens.

 

You can transfer the title to the new owner with yourself listed as leinholder and let them get their tag and insurance and present you proof of insurance.

 

If you are leinholder and have a signed "contract" then you may have certain rights to repossess the vehicle.

 

This should not be construed as legal advice to you, as I am NOT COMPETENT!

 

If you sale the vehicle to a private party, for your own protection, you should go with them to your/their states DMV and sign the title over to them there, so the state can collect the taxes etc and complete proper registration.

 

Some states the license plate goes with the car and others goes with the owner. If yours is one of the states in which the tag belongs to the owner rather than the car, DO NOT let that tag go with the new owner.

[Guest sjones]

'nuff said. Im not going to do it. Too much of a possibility for problems.

[nicnac]

Good idea....not worth all the possible troubles

[azpirin]

your buyer has 75% and wants to borrow 25% for 3 mos? let him borrow from his friends. not worth for your trouble. he already came up with 75% and 25%, im sure he can find it from somewhere.