illegal stuff on CL

so should you and how do you report someone like this? i'm pretty sure it is very illegal to sell a car you still owe on without paying off the lender.

http://cleveland.craigslist.org/cto/3226596417.html

gus said: Selling my bonneville just put brand new waterpump, good alternator, and battery this week as soon as i started it engine started knocking. I have firestone tires I spent 900.00 with lifetime warranty with receipt. Leather seats and moon roof. i still owe on the car so I am selling without title good trans and everything else will not last...If you have a bonneville and looking for parts its still a great car and driveable. call gus 216-315-8605

There's a link in the upper corner to report the ad.

It is. but I am sure when it comes down to it, you could add in lying to police for reporting it stolen to avoid the bank and get payoff....

420 roses?

I don't think that's illegal. If he still owes on it, the bank holds the title and releases it when they are paid in full. When I purchased my M Coupe, the seller still had a loan on the car, which my payment to him was more than enough to cover.

Although, I don't know about parting it out.

It's hard to tell if the guy is asking more than he owes on the loan so that he can pay it off, or is just trying to pocket some cash and make the car disappear by having it parted out before the repo man can come.

It's illegal(in Texas). It's called Hindering Secured Creditor. It is possible to buy a car with a lien on it, but the lien must be satisfied... And this is not how to do it.

Ojala wrote: It's illegal(in Texas). It's called Hindering Secured Creditor. It is possible to buy a car with a lien on it, but the lien must be satisfied... And this is not how to do it.

Disagree. You can sell it, but the new owner won't get a title until the bank releases it. It has to be done carefully to avoid getting ripped off, but you can accept money for a vehicle with a lien (provided the lien is in your name). Then you basically go to the bank, pay off the lien with the cash, they release the title and its all done.

That is, of course... if the selling price covers the loan :)

In reply to curtis73:

That's what I meant by satisfying the lien. But like I, and you, said there is a right way to do this. Just like when you trade in a car that you are still making payments on. This is of course all speculation based on a craigslist ad, but what that guy is doing is stripping a car that has a lien with no intention of transferring the title or satisfying the lien. And that is illegal...in Texas at least...

http://phoenix.craigslist.org/nph/cto/3170836465.html

Here is another one. Selling cheap for parts, says there is another loan that can be paid if you want title.

former520 wrote: http://phoenix.craigslist.org/nph/cto/3170836465.html Here is another one. Selling cheap for parts, says there is another loan that can be paid if you want title.

Talk about a classy person.

There will be a lean against the title and it must be signed off by the loaning company before there vehicle can be titled. The vehicle does not belong to the person 100%, but they may be using the money you give them to pay off the lease. If they do not and you part it, it would be considered destroying stolen property which is a low felony in most states.

I have one track car without a title and I have one car I bought with a lean against it. It was taken care of quickly. When buying a car without a title, I keep all emails to show it was clear that I believe the seller is the real owner. I also check the vin. I expect to lose everything put in if there vehicle is dirty.

Deleted. Looks like he found out it was a bad idea. I find it unlikely he was trying to satisfy the leasing party.