anyone ever finance a car to someone?

I have someone looking to finance my vette from me from outa state. Has anyone done this before? Originally he sent a couple big payments and then had some issues. I told him maybe we could work out a deal with smaller payments and then he can get a loan at the first of the year. Currently the car and title are in my posession. I am tired of seeing the car wasting space so someone at work suggested keeping the title and letting him take the car. I would be the lien holder on the title, he would get to drive the car before winter and everyone would be happy. He seems pretty honest, an older guy from texas. Never asked for his money back when he defaulted on the loan with me. My only concern is if he doesnt finish paying and he has the car. Obviously I will have the title, but whats involved to get the car back or claim it stolen if he dissapears?

 

with a lien u keep the title and i think u would need to make that known to the dmv

 

My sister's boyfriend wanted to do this to drive my old car after I first got the truck, and I definitely opted not to. I would heavily recommend against it, personally - it's a huge hassle and if you get to know the guy you're going to feel bad chasing after him for payments.
If I were you, I would talk to him and try to work it out such that what he has paid already is down payment, and have him get a real bank loan for the rest so that you can actually sign the title over to him, have the bank worry about collecting money in the future, and get paid in full immediately. I wouldn't want to have to try to work that out on my own.

 

Bad idea...really BAD idea.

You aren't a bank and you don't have the same legal support to defend yourself if the guy defaults on you.

If you end up in court and you haven't gone through the proper channels & paperwork - then he could possibly turn everything againest you.

Tell that guy to get off his ass and go to the bank and get a loan to pay the car off FULL. When you receive full payment, you'll sign the title over to him.

Wash your hands of that situation and do it fast!!!

 

Let the professionals take the risk...have him get a loan from a bank and pay you in full, and then stop worrying about it.

You need more work to do or something?

Chasing down a poor borrower would be an unholy pain in the ass. Even if you eventually got your car/money back/paid, no one is going to give you back that time you spent in court, unanswered phone calls, etc.

Save yourself the trouble.

 

I would be the lien holder on the title, he would get to drive the car before winter and everyone would be happy.

You will not be happy if he trashes the car and stops payments. You will then have the title to a trashed car. He is essentially just renting it. Run as fast as you can away from this idea.

 

Other thing to think about (not sure if laws are same in your state) but if you are the R.O. on the title & he gets in an accident, YOU are on the hook! You can get sued by the other party involved or the insurance company (assuming he has insurance).

 

He defaulted, so you can just start over and sell the car to someone else who can pay you the full amount again.

You just made a gain

 

This has "Peoples Court" written all over it.

 

AGREED!!!! If he stops paying you and disappears, you're responsible for taking him to CIVIL court. Because you and him made a "contract" he's not liable criminally so YOU would have to be the one to jump through hoops that they put 50 feet off the ground in order to either get your vehicle back, or collect the money from him. Now that court is in the works, you'll also have court fees that are your responsibility, as well as attorney fees should you decide to go that route (All money that you'll typically get back if you will the suit, but it may take a hell of a long time).

My suggestion. Don't sign it over to him without all the $$. I have to deal with this crap all day at work, it gets even better when the "soon-to-be" ex-wife sells the husbands car and he calls to say that she stole it because he's the sole title holder. Sorry pal, what's yours is hers and what's hers is yours.

 

it was just a thought I should have clarified the first transaction- it was to remain in my possession as well as the title, until it was paid in full. Yes, he defaulted, so the money is mine clear and free. It's already back on the market and I told him that I already had some cash offers for close to what I was asking. He knows that a cash offer will sell the car before his. It's such a pita to sell a car! As for the insurance end of it....I heard that you have him be covered and have an agreement with his insurance company. If he defaults on the insurance then the car comes back. He would be 100% liable.