DougB59

I'm negotiating to buy a late-model used F-150 from a private seller who still owes a substantial amount to Ford Credit. He needs my purchase money to pay off the loan. I'm reluctant to pay off someone else's loan and trust him to give me the title when he gets it. Before when I bought from a private seller, we went to her bank, paid off her loan, and then went directly to the Department of Motor Vehicles together and did the paperwork to get ownership transferred. Even at that, I think we had to wait for her to send us the new title. But I think paying off Ford Credit would be by mail.

What's the best way to handle a situation like this that protects both buyer and seller? Maybe get a signed and notarized purchase agreement with the seller specifying all the details, then contact Ford Credit together and get the payoff amount, send a check (personal or Cashier's) directly to Ford Credit to pay off the balance, and give the remainder to the seller. Or maybe hold out $200 of the purchase price pending receipt of the title from the seller (I think Ford Credit will only send the title to the original owner, even if I am paying off the loan, but I'm not sure of this).

Or is there a better way to handle this? Do Ford dealerships ever act as representatives of Ford Credit in cases like this (accepting the payoff and signing over the title to the new owner)? I don't want to risk giving money to the seller without knowing that the loan is being paid in full and that no one else has claim on the pickup. Thanks.

All Hat No Cattle

The easiest way to get accurate info is to simply call Ford Credit to find out their procedure. They do this regularly.

Whatever you do, do not put any money up front to the seller, and find out how Ford Credit will get the Title to you.

tvsjr

The dealership isn't going to get involved unless they're getting a piece of the action.

One big piece of advice - don't trust ANYTHING on a handshake. If it's not a written contract, signed by both of you and ideally notarized, it didn't happen.

DougB59

Thanks, but I tried calling Ford Credit about this early this morning. They don't want to talk to me because I don't have a loan with them (just kept asking for my loan number or SSN). I finally got transferred "to a representative"...only to be told by a recording that they are very busy and I should call back later. I don't expect much help from them. I'm sure they will accept a check and pay off the loan, but I don't think they have much motivation to help get the loan paid off early or to protect the interest of a used car buyer who won't be using their services.

caperJ

When I sold mine to my cousin I got a payout amount from Ford and he got a certified check we went to the bank and I setup a payee Ford Canada credit with the account number and made a payment to ford Canada credit with the account number and within 5 days they sent me a loan payed out statement which I sent to my cousin.

Skwerl

Everything you said in this post is assumptions based on your preconceived notions. SPEAK with an actual Ford Credit rep and then come back with your questions.

mikeinatlanta

Not enough info. Are you paying cash for the truck, or also getting a loan? Regardless, Ford Credit holds the title. They will release it to you when you present them the sale documentation and payoff for the loan. If borrowing your bank will take care of this all for you and Ford Credit will release the title to them and not you. If not you'll need to communicate with Ford Credit, but if you lack the patience to do that you may want to find another truck.