ryangambrill

Hello Everyone:

I have never obtained a loan to purchase a vehicle from a private owner. Is this a real PITA?

Obviously getting the car and loan from a dealership is much easier, but I want to keep my options open as I search for a Cayenne.

Any recommendations as to good banks with good rates and an easy process?

-Ryan

Dennis C

It shouldn't be any trouble. Just go to your bank and ask them how they like the process to work, and it should be quite easy.

atlshaver

PenFed credit union - 3.99%, even for private party. Not a big PITA for private party, just a little more work.

ryangambrill

I went to the website but could not see a breakdown of the process.

Can anyone give me a quick rundown of the steps, assuming the current owner has a lien on the vehicle?

Dennis C

I've only been on the selling side of this situation, and I did have a lien on my vehicle at that time. The buyer's lender provided two seperate checks - one to my bank and the balance to me. The one to my bank was sent directly there, so I never had possession of that cash. I had a lawyer draw up the contract. You could also speak with the loan department at your bank and see how they would handle it. This kind of thing happens all the time - they will have procedures in place.

ryangambrill

Cool. Thanks.

My hope is that if I find a car from a private seller, that they have a good relationship with a dealer that can CPO the car and handle the transaction.

spiderv6

much easier and much cheaper to find a seller with an already CPOd car. Going your way will add thousands to the deal. Alternatively, just buy your own 3P warranty.

ryangambrill

Can you please expound? Are you saying one that has a portion of the CPO warranty or a vehicle that can be CPO'd by a dealer?

v10rick

I went through this process in Nov. and it was a PITA because the seller was not in the same state.
The scenario went like this…

Seller faxed the Title and bill of sale to the lender...in my case the credit union.

When the loan was approved they cut a check to the owner of the vehicle.

Took delivery of the CS and returned home for the state mechanical and emissions inspections.

Visited the DMV to pay the state sales tax, title transfer fee and tags, which was not part of the loan.

The upside is you should be able to negotiate a deal that will not be matched by a Porsche Dealership.
The downside is if there is no warranty remaining or it’s not CPOed you could be faced with expensive repairs at anytime without recourse.

Aftermarket warranties do not cover the typical failures.

A dealer will not CPO a private party purchase.

Ucube

CPO warranty is transferrable for private party sales, so that's a better route to take. For a non-CPO'd car, even if you can find a dealer to run it through, it'll add thousands to the transaction to get the CPO.

spiderv6

Thats what I said