How do I transfer my title to a new owner?

[travel_fool]

We currently have a loan for our RV and have a buyer interested in purchasing it. The bank said to have him come in with us, have him give them a certified check made out to us for the whole amount of the purchase price and then we will withdraw the loan amount and pay off the loan. All good right?? Except they don't have any kind of paperwork to give the buyer stating he now owns our RV. He can get a receipt certifying our loan is paid in full but what good is that to him? He then has to wait 10 days for the title (with has our name on it) to be sent to us so we can take it to the DMV to have it transferred to him. Now we hardly know this guy and if I were him, I wouldn't go through with this sale. So what do we do?

[lots2seeinmyrv]

Bumpyroad wrote:
the bank should release the lien on the title and there are spaces on the title to indicate the new owner.
bumpy

That's what we did. Ask someone else in your bank because I think it is called a Third Party Release of Lien? Can't remember.

On that form we put the new owner's name, address, phone number with specific instructions to send the title to the new owner. When the loan is paid free and clear on the account...the bank will send the Title directly to the new owner.

We also drafted a Bill of Sale both parties sign. Also go to your DMV, they have a form that you sold the vehicle and you may have to report it within 10 days.

The bank made 2 copies of every piece of paperwork so buyer and seller has a copy.

[Community Alumni]

Up here in Quebec the transfer of the registration (plate/tag) is the way it is done.

[travel_fool]

Thanks for all the helpful information. Our accountant said he would draft a letter that would suffice as a bill of sale for the buyer and the bank said they would notarize it. I hope the buyer is OK with that. Thanks again.

[tatest]

Pay attention to the bank. They know the local law and procedures. It varies quite a bit state to state. It usually works better if buyer and seller are in the same state.

I know Oklahoma, Missouri, Michigan, South Carolina, Indiana, Texas in various combinations, but can't help with Illinois details. I kept my Michigan registration the six years I lived in Illinois.

[B_O__Plenty]

In States that require a title a Bill of Sale won't work. They won't recognize it. The bank needs to give a lien release to go with the title. The buyer can then take both of those to your DMV and transfer the title. The Bank should have their interest recorded on the title as a lien holder thus the need for a release.

B.O.

[camperpaul]

Follow the instructions from the bank's loan department.

They do this kind of stuff every day.

[Miles_Away]

Give the buyer a notarized Bill of Sale, with all the pertinent information on it, as well as any documentation from the bank. He should be able to obtain a temporary tag for the trailer, which should last until he receives the actual title. You may be able to fill out a transfer of title request, along with a copy of the Bill of Sale and send it in your state's DMV with the bank's request for title. This is just the way these things are done, so your buyer should not be surprised.If this procedure doesn't satisfy the buyer. After all, he will have the trailer and a Bill of Sale.

[Bumpyroad]

the bank should release the lien on the title and there are spaces on the title to indicate the new owner.
bumpy

[time2roll]

Ask his bank to handle the transaction. They should give him the assurance he needs and a receipt that you and your loan is paid.

[donn0128]

Notorized bill of sale is all he needs in most states.

[fx2tom]

Check out escrow.com