How Do You Sell a Car You Haven't Fully Paid off Yet?

Hello guys! I'm trying to sell a car I own right now but I haven't fully paid it off at the dealership, but people are interested in buying it off of a craigslist ad I posted. Is there a way you can actually sell it (like switching ownership/payments with the buyer)? Can you even sell it? Is their any other alternative way?

Suggestion:

You need to call your loan company and ask for the payoff amount. This is the amount of money that they have to have before they will release the lien on the title they have. If you can sell your car for more than your payoff amount then your golden. Just make sure to tell the buyer they will not receive the lien release for awhile as the bank will take some time waiting for the check to clear. No if you cannot sell your car for at least the full amount of the payoff then you need to be able to come up with the difference in order to release the car to the new owner. Some bank will allow you to let another person take over your loan but the bank will do a full credit check on them as if they were applying for a loan anywhere else. If they pass the banks criteria then the bank will set up a new loan usually and absolve your debt.

{ 3 comments… read them below or add one }

Usually you can buy out the car for the principal . Call the lien holder and find out what is owed and how much to buy it out today. It can save you money depending on the interest rate. Pay it off and get the title , or pay it down below what its worth, sell it to a new owner and let them get it in thier name . If you owe less than its worth you can trade it in too..

You need to go to the bank or lien holder and get the total pay off amount. Next, you can have the buyer pay that amount and then you can give him/her the car. Or you can Transfer the loan into his/her name if your bank can do it. You can not sell the car like a regularly sale because technically, you don't own the car.

Who is the lender ? The dealer or a bank ?

What you are talking about can be done. You bring the buyer with you to the lender, use the buyers money to pay off the loan and get the title right then which you then immediately sign over to the buyer.

No assuming loans or anything like that.

Previous post:

Next post: