My girlfriend is planning to get rid of her Prius - she doesn't need a car anymore, so away it goes.


The only snag here is that the car has a lien on it - she still owes about 50% on the loan to Toyota's finance company. She wants to sell it to a private party, but none of us are sure how it works when you need to pay off that loan.

So, anyone know what the procedure is if the car is financed and the other party would be financing the car as well (probably through his credit union)? How does the title xfer, et. al work?

 

Well let's see...I work at Golden One Credit Union and our process goes like this....

1. We'll need the bank information so we can get a 10 Day payoff for the loan( reason being is because we have to send the check out)
2. We'll need current registration that is not due within 30 days. If due in 31-60 days we can collect the fees as long as they have the renewal notice.
3. Smog is not needed because it is less than 4 years old.

We have the DMV forms at our offices but what you will also need is a 2 Reg 262 for title transfer of title to new registered owners and allowing us to be placed as lienholder. basically one you fill out the top portion and the very bottom portion which is for Power of Attorney. The other form is filled out completely (basically the bill of sale) Everyone signs on the forms (buyer and seller)

If it's a family transfer you wont have to pay taxes. You will use form 226 or Statement of Fact to exempt tax, smog, correcting registration, etc.

$15 transfer fee (DMV fee)

7.75 percent tax of purchase price

Also bring proof of auto insurance (buyer) on cars you currently have insurance on

Where do you live? It's a pretty simple process. I've done it quite a few times. Let me know if you have further questions. If i miss something i will add it tomorrow at work. Good luck with the sale.

 

So any normal bank/lender should have all that stuff and understand the process?

 

Yes. Unless whomever is helping you is a nOOb then they won't know what the hell you're talkin about. Have them try Golden 1 first or Schools Credit Union cas we usually offer the lowest rates. Current rates right now for Golden 1 is 6.39 for highest credit rating. thats with an automatic payment set up(which deducts .25%) I dont kno school's credit union rates. But its a pretty simple process. Lemme kno if u have further questions. Im assuming this is an 06, 07 prius. thats the rate i quoted u (for 06,07)

 

Its actually an 05 Prius. But when we find a buyer, i will definitly recommend them your way.

 

well then the lowest rate would be 6.49 with automatic payment set up. I'm in Sacramento but we have 2 offices out in San Francisco. Dont know how busy they are but expect a wait time of an hour n a half to 2 depending on how experienced the person helpin u is. but its prolly at least an hour. its easy for u cas all u need is to sign off on the dmv forms. good luck on the sale. how much u sellin it for anyways? jus curious.

 

man, I should of ask you ahead of time jason, i just went through the same exact situation couple weeks ago. But my bank keeps on screwing it up so for a simple process, it took about 2 weeks to complete it.

I just purchased a 2006 STi that the guy still have about 50% of the lien on it. So what happen my bank contacted his bank, get the amount of the lien that is still on the car and have the seller sign the payoff authorization for remainder lien and both of us sign the DMV POA to transfer the title.

But I think if you are in the SF area, the tax should be around 8.25%.. that is how much I was charged for tax here in SJ. Anyway good luck on selling the car.