What could go wrong in this car purchase?

I'm buying a used car from someone who still owes money on it. The car is local but the loan is out of state. I'm paying cash. The bank instructed me to get a Bill Of Sale and Limited Power Of Attorney from the seller, and to mail certified funds to them, along with a copy of the papers. The seller has agreed to drop off the car and keys at my place on the way to the signing, but he'll remove and keep his license plates. The bank says they will mail the title back to me within a day of receiving the check. With the LPOA, I will be able to sign the tile over to myself and go register at the DMV.

The catch is, I cannot drive the car right away, because I cannot get plates (even temporary ones) until the title arrives, which according to the bank will take about a week altogether. The bank is a large, well-known one. But is there any chance that this is somehow a scam? Mailing a certified check seems risky. I don't want to end up with no cash and no car. Any horror stories out there?

What could go wrong in this car purchase?

A certified check can be stopped, but why not send it fed x or certified mail to the bank? It isn't going to the seller directly, so you should be fine.

What could go wrong in this car purchase?

If you need to ask this question,don't do it.

What could go wrong in this car purchase?

You have outlined the correct steps to take.

A key point is that you have possession of the car before the paperwork is signed. Eliminates one possible hang up.

And yes it is good for him to remove the plates, it protects him, and you don't want to drive a car you don't have paperwork on anyway.

Did you see a payoff statement? Just to make sure what the loan balance is, it sounds like you are able to speak to the the bank that has the loan and title.

I think the LPOA has to be notarized. I would assume you are signing the paper work at your bank.

In a way you are somewhat protected, as the check is made out to the lending bank.

As for the check, most payoffs require a certified check or the lender would have to wait 10-20 days for the check to clear before releasing the title. Keep the receipt.

I would hand the certified check and paper work to the banker along with a paid fedex envelope addressed to the lender's title dept.

That way the seller knows the payment will be sent. You both can use the tracking number to track the package.

The only thing I can think of is to verify there is only one person on the title, the person selling you the car. The seller should have a memorandum title, or the DMV might give you that info.

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What could go wrong in this car purchase?

Well from what you just said, I personally would not fo it! Too complicated and you don't even spund happy or sure about the this confusing long transaction! If your gut tells you not to do this don't do it! Plus when buying a car dont ever trust sending money orders or making payments through some router account..You have to do so much to get and it sounds too complicated...I would not do it! especially because it involves all these unecessary transaction to do and things to do...Plus when you mail or theirs an account to send stuff most of the time their fraudulent so be really careful...If the deal sounds way to good to be truth dont buy it Ive seeen people loose their money over this! go with your gut if your in doubt dont do it! I would rather buy the car with everything with the original owner and not deal with mailing companies and etc,,upfront cash with the owner would be better instead of all this!

Well good luck I normally try to help people..So dthey can avoid scams I seen some and dealt with some! So if in doubt dont do it all