Buying a used car
 

Hi

We are hoping to buy a used car through a private sale this week. We did the carproof report thru ICBC and it says there is a registered lien against the car - does this mean a loan that the seller took out to buy the car?

Is this a reason not to buy it? How do we get proof that it will be paid off if we do buy the car?

Anybody who knows anything about buying a used car in these crazy foreign parts (BC) please help!!

thanks :)

Re: Buying a used car
 

It means that the lien holder has first dibs on the car. If it is not paid off and you've handed over cash for the car, it is still not yours. Do you know who holds the lien, it could be finance company but no surety unless you know hwo the holder is. With a lien on the car you may not be able to get ownership transferred either.

http://www.cba.org/BC/public_media/automobiles/197.aspx

Personally I would be cautious.

Re: Buying a used car
 

Do not buy any vehicle without obtaining clear title to it. The vendor should provide you with a letter from the creditor indicating the loan has been paid in full and the lien removed. You should then conduct another lien search to confirm "free and clear status" before turning over any money. Is this a curb sale? If so you should proceed with extreme caution.

Re: Buying a used car
 

Run...Don't look back...plenty of other cars out there....:)

Re: Buying a used car
 

thanks guys! we are going to buy thru a dealer instead for peace of mind. I appreciate your help tho!!

Re: Buying a used car
 

Hi

Why dont you go to a dealer and see if there is any 0% deal for 48-60 months for a new car? But if you have the money then buy a one year old car as it will save you a few thousand dollars.
Dont go for the used car from a dealer as you will be charged about 7% per year for the duration of your loan. It all depends if you have the money in hand. If you dont then a new car on 0% for 4 - 5 years will be great.

Bye

Ibby