So is it a bad idea to buy a bike from an individual when the bank still holds the title?? He is offering to sell the bike with No title but with a bill of sale. Is this even possible?? Do I have any protection from the bank coming to get the bike if he doesn't pay for it even though I have a bill of sale? I plan on this bike being Track Only so I could care less about a title I just don't want it Repo'd in the middle of the night...etc.

Thanks guys

 

If the bank has the title, you and he go right to the bank, make the payment and get the title, then he gets the leftover cash if there is any. Anything less than that walk away.

 

Yup, too many things can go wrong and screw you in the process. Unless it were a ratted out stunt bike or a cheap dirtbike or some other "toy" I'd have to have a title, down the road you might want to sell it or register it for the street, and no title = problems in that regard, plus, the bank owns the bike.

 

It's best to get the title for proof of ownership.

Pay the owner an agreed upon price between you and him. If there's still an outstanding balance with the bank, it should be his responsibility to pay it off. If the agreed upon price is less than the balance, then he pockets everything. Go for the title.

 

It is better to err on the side of caution, but if it is one hell of a deal and you want to take a little risk, you might be able to pull it off.

There are ways you can in essessence get around the title problem (at least here in Illinois). If you know some mechanics, they can get a "mechanical" or "rebuild" title. Basicly if you can put enough non running parts together to make a running vehicle they want you to be able to licence it and thats what that is there for.

If you get a bill of sale, and they do come repo it... yes you lose that money, but you can small claims the seller for that money.
Ive had friends go through it and it was an annoyance but they said that they would take the risk again.

 

I will tell you how it is here in the UK and I imagine its not much different for you guys .. you can buy a bike on finance from an HP company ..Hire Purchase .. you make the payments and whil.e you have the bike you dont actually own it ..it still belongs to the finance company ..if someone here sells you the bike and you buy it in good faith with a receipt and everything, then they default on the payments ..the company comes after you for the money or the bike!! ..there is no protection here for people who buy things on finance and later the original owner stops paying ..we do have systems in place to run checks ..say I wanted to buy a car I could ring up HPI (Hire Purchase Information) and they will check to see whether its stolen or on finance ...once I bought the vehicle though and it turns out to be on finance then its bad news ... dont buy a car/bike that someone else is still paying for ...EVAR!!


Jules

 

^^ Same here in my place. If the bank still hold the title means there are still payment due for them and I assume you will continue the payment with the bank. Good part is if you are going to break any law it will goes to the real owner of the bike. The bad part is the real owner can legally repossessed the bike at any time.

 

+1

Don't buy trouble with your money !