C
cangler
Guest
I'm new to auto loans... and I just want to see if I understand this...merely an example.
So lets say you're buying a vehicle from a private seller that is still paying off their loan on it (a lien). The seller is asking for roughly $21,000, and the kkb values it about $23,500. The seller has about $10,000 left on the loan but no longer wants to pay on it (reason for selling). The buyer wants to purchase the vehicle by getting a loan from their credit union/bank. My confusion is here... does the buyer's credit union/bank pay off the rest to the sellers loan institution ($10,000)... then the sellers loan institution gives the title to buyer's credit union/bank, and then also pays the difference to the seller ($11,000)? I was concerned that the buyer's credit union/bank will only pay what is left on the loan and the buyer has to come up with the rest, which doesn't make too much sense too me.
So lets say you're buying a vehicle from a private seller that is still paying off their loan on it (a lien). The seller is asking for roughly $21,000, and the kkb values it about $23,500. The seller has about $10,000 left on the loan but no longer wants to pay on it (reason for selling). The buyer wants to purchase the vehicle by getting a loan from their credit union/bank. My confusion is here... does the buyer's credit union/bank pay off the rest to the sellers loan institution ($10,000)... then the sellers loan institution gives the title to buyer's credit union/bank, and then also pays the difference to the seller ($11,000)? I was concerned that the buyer's credit union/bank will only pay what is left on the loan and the buyer has to come up with the rest, which doesn't make too much sense too me.
Last edited:
