Contenu
If you decide to sell your vehicle on time (payments), you will need to place a lien on the title. Placing a lien on the title of a vehicle you are selling, will legally ensure your right to repossess the vehicle in the event of a breach of contract. (failure to pay)
Step 1
I recommend having a written payment agreement signed by the buyer. Include total amount due, payment amount, payment due date and late charges.
Step 2
Go to your local notary public for the title transfer, both parties need to bring prof of identification. Advise the notary, that you will need to have a lien placed on the vehicle. The notary will take care of processing the lien on the vehicle. There is a fee for this service, in Pennsylvania it is $5.00.
The title will be mailed to you (seller) it will be in the buyers name with yours as lien holder. Once the buyer satisfies the agreement, all you need to do is sign off on the title. Note: there is a place on the title for this. (lien holder signature) Then hand the title over to the buyer.
Warning
- When a lien is placed on a vehicle, the buyer has to pay self tax, the deal can not be considered as gifted.
Items you will need
- A notary
- A vehicle
