- Centurion Member
- Posts: 508
- Joined: Tue Aug 13, 2013 10:04 pm
- Location: ca
Not sure if this answer is coming too late; but, you need to find out if the credit union you got preapproved for does financing for private party sales.
If not, than you're going to have to pay cash.
If they do, you're going to have to change the paperwork done for the approval (I prefer preapprove term) and see if the rate sticks. If the car is similar in make, year and resell factor than..probably wouldn't change much, if you're sticking with same term and amount asked.
Once the paperwork is changed to reflect the correct vin and everything, the credit union should cut a check for you to give to that owner, or a transfer (if those services are available) would be made..that's a question you'll have to ask your credit union.
I'd ask for a check to be cut to you if possible, so you can pay a direct portion of that to his credit union that's holding the loan--and recognize that you need to protect yourself to have something making him legally liable to sign the title over to you because regardless of who pays for it, once the credit union receives the pay off, they'll notify the dmv where the note is held, that the lien is released and to send the pink slip to the owner, eg..the seller.
The seller than has to transfer it over to you. So before you pay off the loan, and give him the rest of the amount (that's if your credit union does financing for private party sales..that can get tricky in of itself from what I'm describing which is why big banks don't do it) that's over the remaining loan amount (his asking price)
Make sure you cover yourself