I am very interested in buying a car from someone who has a lease on
the car. They say that they would be able to payoff the car and get
title in 10 days. How is that you typically deal with these types of
things? Should I write them a check and just count on them to send me
the title when they receive it? That sounds risky. What do people do
in these circumstances?

Publius wrote:
I wouldn't give him anything until he can produce a title to give to
you on the spot.

-phaeton

If he does not have a title then he does not own the car and can not
sell it. The car belongs to the leasing company. You would have to
see his leasing agreement to know if he can retain the car after the
lease is up. This is like the renter of a home trying to sell the house
he is renting. Some leasing companies allow the lessor to purchase
the car for a small fee, others already have options on there cars from
major used car and rental companies.
Chuk

phaeton wrote:

Dealers in SC have used a technique for years: write him a check and
write on both ends on its endorsement side in big letters: "TITLE MUST BE
ATTACHED". In the "FOR" section on the front, write down the serial number.
The payee has to send both check and title to your bank, to be honored only
when the bank calls you to come down and verify the title "fits" the car you
are buying; ie, correct ser. number etc.
I have in a few instances, had my bank to prepare such a bank check.
Little known service, but yes, they too can send a "title attached bank
check" as well as we can.
HTH, s


"Publius" <jelgie (AT) gmail (DOT) com> wrote

"Publius" wrote:

I want to buy a car from someone who has a lease on the car.
They say that they would be able to payoff the car and get
title in 10 days.

How is that you typically deal with these types of things? Should
I write them a check and just count on them to send me the title
when they receive it? That sounds risky. What do people do
in these circumstances?
__________________________________________________ ____

Here are some options, in my order of recommendation:

1.) Call the leasing company and arrange to go there with the guy
and have the leasing agent handle the transaction. It would be
a pro-rated abandonment of the lease and a simultaneous sale
by the owner (the leasing company) directly to you.

2.) Wait for the guy to pay off his own lease and obtain his own
title certificate, then buy the vehicle from him.

3.) Make up a written agreement you both will sign describing
exactly what you are agreeing to, what money is involved, and
what time the various events are to occur. Then hand the guy
your money, wait and hope for the best. While you are waiting,
read up on small claims court procedures.

Good luck.

Rodan.

On 28 Oct 2006 14:19:00 -0700, "Publius" <jelgie (AT) gmail (DOT) com> wrote:

Any lease return payoff when combined with the payments is usually
more than the car is worth on the retail market. The leasing company
owns the car, and if it's a cherry turn-in, they'll want to retail it.
Run like hell. Do NOT give this fraudster any money. If you do,
you're a dummy.

You are being scammed. He does not own the thing, you must deal with
the leasing company direct.

Mike
86/00 CJ7 Laredo, 33x9.5 BFG Muds, 'glass nose to tail in '00
88 Cherokee 235 BFG AT's
Canadian Off Road Trips Photos: Non members can still view!
Jan/06 http://www.imagestation.com/album/pi...?id=2115147590
(More Off Road album links at bottom of the view page)

Publius wrote:

Publius wrote:
There are a couple of choices:

1. Agree to buy the car from the seller once he obtains clear title
from the leasing company. But don't take posession or hand over any
money until he has title.

2. Purchase the car from the leasing company under the terms of the
lease. This will take an agreement between the parties to the lease
and you.

Unless this is an unusual car or there are other facts that I'm not
aware of, why not just look for a car with clear title. There are lots
of them to choose from and the deal would be finished by the time the
lease is disposed of.

Publius wrote:
As others have said, the most direct way would be for the two of you to
sit down together at the leasing company's office. There would be an
exchange of cash, the direction and quantities of which would be
determined by how much the lease needs to pony up to the lease company
to buy out the car and how much you and he have agreed you are going to
pay for the car. Chances are, though that whatever you would agree to
pay him for a car - as if it were out on the open market - will be less
than what they lease company will let him have it for.

Case A - most obvious
Lease company wants $900 to turn over the title to lessee
Lessee wants $1000 to sell it to you.
You give $900 to the lease company and $100 to the lessee.

Case B - most likely
Lease company wants $900 to turn over the title to lessee
Lessee wants $800 to sell it to you.
You give $900 to the lease company and the lessee gives $100 to you.

Matthew