I was told by the bank the following:

If you purchase a car out with a lien on it, it will take two weeks for the bank to transfer the lein from one bank to another. What this means is, you can't get a tag for the car during that time.

How is this feasible at all? They do know this means that I have to illegally drive it away from the bank as well as illegally drive it to the DMV? I know that's a non-issue, but I still want to drive whatever I purchase without having to wait 2 weeks. According to them, I can't even get a 30 day tag during this time. It seems like this situation (purchasing a car with a lien on it) would occur often enough where there would be measures in place to prevent this downtime.

3/18/2008 7:29:13 AM

can you not just wait for the title to be at a local branch, make the transaction there, and then get your tags?

3/18/2008 8:00:44 AM

banks are kinda stupid about this. they tried to get me to purchase my car cash and then take a loan with them to make the title work easier. if you goto the dmv with a bill of sale, I believe you actually can get a temp tag, but if you can't just use your old plate and don't be stupid for 2 weeks. not legal, but really shouldn't be a problem if you play your cards right.

3/18/2008 8:20:23 AM

Been there done that......took me 3 weeks to get the title. Car just sat in the garage in the mean time.

If you have the bill of sale on you, I believe most cops cut you some slack.....at least that is what I have heard. Personally I just didn't drive it.

BOTTOM LINE: Buying a car with a lien on it sucks, you can't drive it until you get the title.....I will never buy another car with a lien.

3/18/2008 8:42:27 AM

Yeah, it's annoying. The one time I did this the guy I was buying it from had the cash on hand to pay it off--so he went to the bank that had the title, they gave him the title and a lien release form signed/notarized by the bank. To register it I just gave the title/lien release and all was fine, no big deal.

Obviously it's more complicated when somebody doesn't have the $ to pay off the car. It seems like if its a small hometown bank it shouldn't take long at all to do it..

3/18/2008 9:22:13 AM

I went through this from the other end... we needed to get rid of my wife's car (purchased before we were married) and it still had a lien on it from Toyota (so a little more complicated because we couldn't just go to the bank and get it.

The person who bought it had their bank send a check directly to Toyota. We had verification from their bank so we handed over the car (took the plates), canceled our insurance on it and they presumably didn't drive it until the two weeks had passed (it was a Christmas gift for their daughter and they bought it beginning of December so I doubt they drove it... you can't get a license without a title). Everything worked smoothly.

3/18/2008 4:38:46 PM

I purchased my car when it had a lien on it. Took 3 weeks to get the tag etc. I threw my old tag on there and kept a bill of sale in the car with me and hoped I didn't get pulled.

3/18/2008 6:31:22 PM

Quote :

"They do know this means that I have to illegally drive it away from the bank as well as illegally drive it to the DMV?"

No, you get it towed to your residence. Dur. And you don't drive it to the DMV, you get there with some other mode of transportation. If you want to speak legally.

Also, you are MUCH better off running no plates and keeping a bill of sale with you, than swapping the wrong plates onto a car. If you get pulled with the wrong tags, prepare to get bitch slapped. No tags is almost always a warning as long as:

a) You have proof of insurance coverage on the vehicle
b) You have a bill of sale and copy of the original lein/bank agreement

3/18/2008 7:23:00 PM

No need to tow a running car. Get the owner to drive it to your house, park it in the driveway, and drive him to the bank to do the title transfer.

3/18/2008 7:59:24 PM

Quote :

"Also, you are MUCH better off running no plates and keeping a bill of sale with you, than swapping the wrong plates onto a car. If you get pulled with the wrong tags, prepare to get bitch slapped. No tags is almost always a warning as long as:"

yea, I was told this by a cop..right before he had me towed for having the wrong plate on my car

$150 later I learned my lesson

3/18/2008 8:26:20 PM