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Question - buying a car with a lien on it

ONE-A-DAY

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So there is a car I want to buy, owner owes some money on it. No big deal, we will go to his bank where he has the loan and I will pay them directly and they will cut him a check back for the difference in the sale price and what he owes.

The question is on the title. There isn't one yet, Arizona will produce it when the lien is satisfied after being notified by the bank / lienholder. So when they do that does it come directly to me in my name or does it go to him and then he has to sign it and get it notarized?
 

v6toy4x

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AZ must be different than CA, or I am out of date but I have boughten cars with loans and the owner had a title with the lienholder listed at the bottom. Once the lien is satisfied both the reg owner and the lienholder sign on the pink and you mail it in with your info and get a new title sent to you in your name.
 

was thatguy

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His bank is the lien holder, pay them the lien amount, pay him the balance, title gets released to whoever the bank says...I think? Lol
 

Ace in the Hole

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His bank is the lien holder, pay them the lien amount, pay him the balance, title gets released to whoever the bank says...I think? Lol
The new AZ electronic title system sucks. get a bill of sale signed to you, but the title will go to the previous owner. Ive been through it a couple times and never had an issue. They get it within 2 weeks and then you will either have to have him mail it to you or pick it up. Kinda was the same when I bought my new truck last year. Anderson got paid, I got a temp tag and copy of the purchase contract. They mailed me an AZ title which we turned into the MT attorney. I don't think AZ issues a paper title at all unless requested at this point...he will likely have to request it to be sent after the electronically release the lien.
 

bldrinker

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His bank is the lien holder, pay them the lien amount, pay him the balance, title gets released to whoever the bank says...I think? Lol
It don’t work that way in CA. Title goes to the owner who has the loan. They sign it and send it to the new owner.
i have done it like this plenty of times. But I was the seller. I can see how the buyer would be uneasy.
But you have a receipt of the transaction with signature a copy of the pay off re receipt with sellers signature a photo of sellers DL and the vehicle. Would be dumb for the prior owner to try and pull some shit.
 

2FORCEFULL

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It don’t work that way in CA. Title goes to the owner who has the loan. They sign it and send it to the new owner.
i have done it like this plenty of times. But I was the seller. I can see how the buyer would be uneasy.
But you have a receipt of the transaction with signature a copy of the pay off re receipt with sellers signature a photo of sellers DL and the vehicle. Would be dumb for the prior owner to try and pull some shit.
X2... this is how it works....but here's how my deal went south.... ended up getting a lawyer .... what happened was this... went to wells fargo, paid off the load... they sent the title to the owner,,,,,, but... when he made the deal he was married.... he went through a bad divorce... the title came in both their names.... ex wanted 10k to sign off on the title seller refused.....seller refused to give my money back, or the title...also... be cause the deal was done in san Bernardino, I had to file a case there.... freaking night mare
 

bldrinker

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X2... this is how it works....but here's how my deal went south.... ended up getting a lawyer .... what happened was this... went to wells fargo, paid off the load... they sent the title to the owner,,,,,, but... when he made the deal he was married.... he went through a bad divorce... the title came in both their names.... ex wanted 10k to sign off on the title seller refused.....seller refused to give my money back, or the title...also... be cause the deal was done in san Bernardino, I had to file a case there.... freaking night mare
i remember you posting about that cluster fuck.
 

hav19

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We just went through this on a motorhome, the bank that held the title was National Bank of Az, - we meet the peeps at the Parker Branch, The Bank Manger was Not On Top of His Game! So this is how it went down, (we also bank at National) both party's sat in front of the manager, we paid the unit off, the bank manager gave us a Notarized Bill of Sale and a Bank Receipt for the Payoff ' the title was sent to the old owner and we had to trust them to send it to us, we were told the title and the notarized bill of sale would allow us to title it - I can't swear that is true as the peeps notarized the title before they sent it to us!
 

Todd Mohr

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What bank and what state? I have done a purchase like this before, the bank will send you the title after the lien is paid. The current owner will sign paperwork at the bank to release the title to you. That's why you would do this transaction at the bank holding the title.
 

ONE-A-DAY

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What bank and what state? I have done a purchase like this before, the bank will send you the title after the lien is paid. The current owner will sign paperwork at the bank to release the title to you. That's why you would do this transaction at the bank holding the title.
AZ / B of A
 

Todd Mohr

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Should be an easy transaction as long as the proper forms are signed. Just like when you trade in to a dealer, the dealer pays off the trade, then the bank sends the dealer the title.
 

Nikwho

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They will mail a paper title to the PO, BUT, you will receive a notarized power of attorney from the bank, with the PO's signature notarized in it. You can take that to DMV and get the title in your name right away. It's scary, but an easy process. I've done it a few times, both as seller and buyer. You are safe, so long as you don't lose that notarized power of attorney form.

And, so that everyone knows, you CAN still get paper titles in AZ! You just have to specifically request them! And pay a few bucks.
 

PlumLoco

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Not to threadjack too badly but I cant seem to get a good answer. Last Nov. I bought a motorcycle originally purchased and plated in AZ from a guy who lives in Huntington Beach. He was having the tags/renewal sent to HB every year no problem. So I filled out the back of the title but if I mail it to AZ and it gets lost, I'm hosed. If I travel to AZ can I get this done in a day? On a Saturday?
 

Nikwho

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Not to threadjack too badly but I cant seem to get a good answer. Last Nov. I bought a motorcycle originally purchased and plated in AZ from a guy who lives in Huntington Beach. He was having the tags/renewal sent to HB every year no problem. So I filled out the back of the title but if I mail it to AZ and it gets lost, I'm hosed. If I travel to AZ can I get this done in a day? On a Saturday?
Absolutely! I would suggest going to a 3rd party DMV office. They'll add their fee to the regular DMV fees, but they tend to have very short lines/wait times. And the fees are not bad, maybe $20-30 for what you're looking to do. Plus, AZ registration fees are pretty affordable.
 

gqchris

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Absolutely! I would suggest going to a 3rd party DMV office. They'll add their fee to the regular DMV fees, but they tend to have very short lines/wait times. And the fees are not bad, maybe $20-30 for what you're looking to do. Plus, AZ registration fees are pretty affordable.
I have had amazing service at the Havasu Quickstop https://quickstophavasu.com/

Well worth the fee and they know exactly what to do!
 

Nikwho

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Absolutely! I would suggest going to a 3rd party DMV office. They'll add their fee to the regular DMV fees, but they tend to have very short lines/wait times. And the fees are not bad, maybe $20-30 for what you're looking to do. Plus, AZ registration fees are pretty affordable.
Re-reading what you are trying to accomplish, that won't work without some sort of deceit. To buy the bike, you can carry the AZ title right into a CA DMV and register it, no problem. You don't have to first title it in the state that it is coming from. It sounds like you live in CA and want to register it in AZ. You will need an AZ driver's license and AZ address to pull that off, at least initially (and legally).

So, for clarity, what exactly are you trying to accomplish? You very well may end up wasting a day driving to AZ and back, and still not accomplish anything. When I left CA (2004) titles didn't require a notary.
AZ titles must be notarized. Be careful where you sign and what you fill out..
You can jamb yourself up by filling out the wrong section of the back of an AZ title. Make sure that you understand the whole "AND" vs. "AND/OR" thing (hint, and/or does NOT mean "or").

Good luck!

Nik
 
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J5Daytona

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ok I will share exactly what happened when I sold my x3 in January , I will say the buyer was worried as well but my CU did everything to assure him things would go smoothly . We went into local CU branch paid off note , they then sent an immediate electronic lien release to AZ DMV . We drove to a third party DMV two miles up the road and they printed the required forms for title transfer verified no lien through DMV electronically , I signed all forms after he handed me the rest of my cash .AZ DMV mailed him the title with no lien in his name . Took about an hour total.
 

ONE-A-DAY

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B of A WILL "fuck it up", just sayin...
Just finished, 5 hours, B of A sucks dick. No esign, can’t use email, have to use a fax machine for documents, fuckers are still trapped in the 90’s.
 

was thatguy

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They will mail a paper title to the PO, BUT, you will receive a notarized power of attorney from the bank, with the PO's signature notarized in it. You can take that to DMV and get the title in your name right away. It's scary, but an easy process. I've done it a few times, both as seller and buyer. You are safe, so long as you don't lose that notarized power of attorney form.

And, so that everyone knows, you CAN still get paper titles in AZ! You just have to specifically request them! And pay a few bucks.
I’ll say this, after dealing with selling a couple boats with trailers to out of state peeps I have ALWAYS and will ALWAYS pay the $15 or whatever for paper.
No matter what they say, other States seem never to be able to accept an electronic transfer.
My problem 3 separate times all involved trailer title transfers.
 
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