Lien issues

[redhat]

We have a 2014 Civic that I'm looking to sell. I am in New York.

Bought the car in 2015 from West-Herr. Financed through my credit union. Title came in years back and has my credit union (The Summit) and Bank of America listed as lien holders. I have never bothered to do anything about it until recently.

Firstly assuming that BoA was a potential guarantor for my credit union, I visited The Summit first. They had no idea why this would be the case and suggested visiting a BoA for a simple lien release.

In the mean time, I contacted West-Herr and they're doing what I would expect is equivalent to digging through filing cabinets as they don't have any of their 2015 documentation readily accessible to see what they can find on their end.

I went into a BoA and they couldn't find anything in their system. When calling their lien department, they couldn't find the car by VIN and need the previous owner (or at least creditor's) name or social. Besides that, they suggested going to the DMV and asking them what my options are or have my credit union request that this lien is removed from the title.

I am am almost certain that the DMV will want some sort of proof that BoA has no financial interest in this car. And I am not sure my credit union will have much more luck with this without a release.

At this point I guess I am waiting for West-Herr to get back to me with the previous owners name so I can have BoA do a lookup?

Any suggestions? I guess I expected too much when I figured BoA could lookup a VIN and say "We have no financial interest in this car".

Also, I'm assuming that this has to fall on West-Herr for some sort of blame for not filing a lien removal. According to NYS DMV "If the new owner does not provide the original proof that the lien is satisfied, the lien-holder is listed on the title certificate of the new owner." I am thinking this is what has happened to me. Sounds as if this situation is definitely possible.

 

[SatinSilver]

BofA may have financed the car for the dealership as part of their inventory (floorplan) and they were thrown on the title along with the credit union. If you have the actual title and not the certificate of title that should be sufficient for the new owner. Usually you don't receive the actual title to the car until it's paid off. Contacting the local dmw/title bureau for a lien search might be another option. They should be able to run a scan for you. Or just click on the links below.

https://dmv.ny.gov/registration/check-title-or-lien-status

https://process.dmv.ny.gov/titlestatus/

 

[Audios]

The title will have Lienholders on there but it should be stamped/notorized and noted as paid over the release signatures either on front or the back.

 

[Donald]

I you had missed a payment for something BofA would have complete documentation to screw you to the wall. If BofA has no financial interest they should give you a lien release.

I bought a boat trailer that was 20 years old, never had a title, I was given the "certificate or origin" from the company that made it. No one had ever paid sales tax. The VIN was a sticker that had fallen off years before I got the boat trailer.

It took about a year to get a title.

 

[SeaJay]

I had a very similar situation in NY. My vehicle had been paid off ten years earlier, but I never did anything about the title, which still had a lien. I checked with DMV and they said that the lien was still attached to my title. What they told me to do was to contact the lien holder (Ford Credit) and ask them to send me an original signed letter on their letterhead stating that they had no financial interest in my vehicle.

Ford credit ran my VIN #, then sent me an original copy on their letterhead stating that they had no financial interest in my vehicle. I took the letter and title with the lien on it to the DMV, gave them the fee (under $20 I believe) and I got a new title in about a week without any liens on the vehicle. I was then able to sell the vehicle.

 

[oilpsi2high]

You can sell it with the liens on the title - you just need a letter from each lienholder stating the lien has been released.

 

[The_Jeff]

Your credit union works for you. Ask them. If they are a leinholder of a car that someone else may also be, they would want some sort of "title insurance" to ensure you aren't underwater on their car with what you "owe" two entities. They were clearly comfortable enough with the situation to let you get this far.

I take it you have a "specimen title" that reads all over it that it's not proof of ownership but given to you to register the car.

I would clear everything up and get a new title that looks clear to any buyer. This stuff varies from state to state and if you get an out of state buyer they might balk at NY peculiarities.

 

[AZjeff]

O/T but we had a bit of a hard time with a car titled in Az but operated and registered in Ca for a few years then brought back to Az to be sold.

Not the same but lesson learned was keep the paperwork up to date or you've got trouble when you want to sell it.

 

[SeaJay]

Originally Posted by oilpsi2high
You can sell it with the liens on the title - you just need a letter from each lienholder stating the lien has been released.



Selling it is not the issue if the buyer is willing to accept a vehicle with a lien on its title. Not sure if NY will register and title the sold vehicle with a lien on the title. Many buyers will not purchase a vehicle in NY without a free and clear title.

 

[redhat]

I am not worried about having a lien on the title as long as I have the accompanying release or letter of no financial interest.

I mean do I just put a nice BoA logo on a letter and write up my own haha? Still waiting on West Herr. Gonna give the president an e-mail soon here. This has gone on too long.

 

[redhat]

And in New York, regardless of liens or finance, you get the title mailed to you.

 

[oilpsi2high]

Originally Posted by SeaJay
Originally Posted by oilpsi2high
You can sell it with the liens on the title - you just need a letter from each lienholder stating the lien has been released.



Selling it is not the issue if the buyer is willing to accept a vehicle with a lien on its title. Not sure if NY will register and title the sold vehicle with a lien on the title. Many buyers will not purchase a vehicle in NY without a free and clear title.


You just bring the lien release letter(s) with you when you go to register. Then they'll mail you the free and clear title.

Even if you don't have the lien release letter you can still register it - the lien will carry over to the new title, however.

 

[BMWTurboDzl]

Sounds like the dealer screwed up the paperwork. Reminds me of the time when I found out that a dealer screwed up the fuel type on my 335d (said it was gas when it's a diesel). I didn't catch the error until I received a notice from the DMV for an emissions certificate.

 

[redhat]

I got it all straightened out. Ended up e-mailing the President of West-Herr and heard back from three people Friday. By Monday I had a lien release in my hands from BoA.