Posted 2017-05-15 12:09 PM Subject: Selling a trailer you're making payments on still?
Regular
Posts: 52
How does it work if I was to get rid of my trailer that I'm still making payments on? I have about 4 years left until I pay it off in full. I bought the trailer for a little over $10K. I'm just not sure how the whole process works since I technically don't own it yet...
Posted 2017-05-15 12:18 PM Subject: RE: Selling a trailer you're making payments on still?
Serious Snap Trapper
Posts: 4275 Location: In The Snow, AZ
We sold a RZR off road car that we owed on still. The guy that bought it called the bank directly and paid off the remainder of the loan. It was super easy for us.
Posted 2017-05-15 12:32 PM Subject: RE: Selling a trailer you're making payments on still?
Married to a Louie Lover
Posts: 3303
You need to call the bank that holds the lien and let them know you're looking to sell it and find out their protocol. The bank holds the title (at least in Iowa and Indiana, the 2 states I've had liens in) so the new buyer will not get the title to register it in their name until you've paid off the lien. Depending on if the bank holds their titles in house or not this could you could get it that day, or it could take a week to 10 days to get it. The buyer needs to be aware of this as well.
If the new buyer is taking a lien on the trailer their bank will want to know if there is a lien on it and if so who holds it. The buyers bank will then either send payment directly to your bank or issue a joint check to you and your bank.
Posted 2017-05-15 2:22 PM Subject: RE: Selling a trailer you're making payments on still?
Extreme Veteran
Posts: 310 Location: North Dakota
I sold a trailer I still had a loan out on. The buyers bank sent my bank the full purchase price of the trailer. My bank sent their bank the title and cut me a check for the difference.
Posted 2017-05-15 9:40 PM Subject: RE: Selling a trailer you're making payments on still?
Veteran
Posts: 253 Location: Back Creek Valley!!!
shakeit0410 - 2017-05-15 3:22 PM
I sold a trailer I still had a loan out on. The buyers bank sent my bank the full purchase price of the trailer. My bank sent their bank the title and cut me a check for the difference.
My buyer bought me a check with my banks name on it. I called and verified funds of the cashiers check. NDA the check to my bank and they turned around and cut me a check for overpayment. Worked out well.
Posted 2017-05-15 10:16 PM Subject: RE: Selling a trailer you're making payments on still?
Elite Veteran
Posts: 682 Location: Northwest
OhMax - 2017-05-15 10:32 AM
You need to call the bank that holds the lien and let them know you're looking to sell it and find out their protocol. The bank holds the title (at least in Iowa and Indiana, the 2 states I've had liens in) so the new buyer will not get the title to register it in their name until you've paid off the lien. Depending on if the bank holds their titles in house or not this could you could get it that day, or it could take a week to 10 days to get it. The buyer needs to be aware of this as well.
If the new buyer is taking a lien on the trailer their bank will want to know if there is a lien on it and if so who holds it. The buyers bank will then either send payment directly to your bank or issue a joint check to you and your bank.
At least those have been my experiences.
This is pretty much how it has worked for me too. I'm in Washington. I sold a trailer a few years ago, guy who bought it called up my bank and arranged everything. Which really should have never happened, bank should have never have released my loan info to him without my consent. But hey, it went smooth and all I did was sign a paper when he came and picked up the trailer and then he took it back to the bank for me lol.
Selling a trailer you're making payments on still?
