I purchased a used car over the weekend. It was considered a “cash” deal even though I used my debit card to pay, and THANK GOD I did.
The dealer was closed by the time my purchase was finished and he told me the car titles were kept in a separate location because they have been robbed before. To me the story made sense. He let me take the car home on his dealer plate and told me he would bring the title the next morning.
Well the next morning came and went and this afternoon I still have no title, its my understanding it’s not uncommon for a dealer to purchase a car from an auction and have the title follow 3-4 weeks later.
However it’s already been 4 weeks since the dealer purchased this car and no title ever came with it. So right now I have a car I cannot register, no title, and no answers as to why this car was even sold to me.
The dealer was trying to locate the title, but the auction place doesn’t have it either, the wholesaler they got the car from never brought it, so now I have to return the car, but I refuse to return it until a full refund hits my account. Honestly I could care less about the money I want the title to my car!!
Is it common for wholesalers to sell cars at auction knowing they don’t have the title? what is the new owner supposed to do with this vehicle? Supposedly this wholesaler sold the auction 75 cars without titles.. where did the cars come from? does that mean they are all stolen???
Now the dealer wants to come and pick up the car and his dealer plate from me by Thursday so he can go get me another car from a title attached auction. I told him not until I get my money back I will not be returning anything to him until then. Can I do this?
Originally posted 2009-08-09 03:25:59.
No related posts.
{ 6 comments… read them below or add one }
I would think so. It’s my understanding, it’s ILLEGAL for anyone to sell a car without a title. If necessary, you can take the dealer to court.
he can’t do that. If he needs to get the car back then he needs to give your money back. You purchased that particular car and the vin is on all of the paperwork. The contract you signed is only valid for that car. Who says you will want the car he tries to replace it with? How did he know the title status of the car without having the title(clear, salvage, lemon law buyback…)? It could be anything. It all sounds kinda shady to me.
The title may be “branded” .
you have every right to hold the car you have until he:
gets you a title or
gives your money back. All of it.
Well, it’s not uncommon for dealers or wholesalers to purchase cars from an auction and not get the title for days or weeks. However, technically the vehicles can not be retailed until the title is available to convey to the purchaser.
In your case I would definitely not give the car back until you get a full refund back from the dealer. And I wouldn’t be getting another car from him, you’ll be compromising yourself getting a car just to get a different car. Look elsewhere unless he can give you the title to the car you have in your possession.
Absolutely. Do not hand over the car until the money hits your account, or they have a bank check ready for you. Do not take a business check.
This does happen a lot. Titles can get lost when they go from dealer to dealer, especially when wholesalers are involved. sometimes the mistake isn’t noticed until the car is retailed to the customer because that is they only time they really need it. The dealer should not have sold the car without the title, they assumed they could get it quickly.
Stick to your guns, you do not have to give them the opportunity to get you another car.
Calm down.
Cars regularly trade hands between dealers without the actual title.
Anyone who sells a car at auction must disclose that they do not have the title in hand. Its called “title attached”. That generally means the seller promises to get the title to the buyer with a reasonable period of time. A month ?
Title attached does not mean stolen. Indeed, if it made it to a dealer auction block, theres a VERY HIGH likelyhood that its NOT stolen. If it was, the auction would know and refuse to sell the car. Call the police on the dealer and so forth.
The KEY is…the seller does not get a PENNY untill he provides the auction with the title. So no dealer has an incentive to not get a title. Just the opposite.
Buying dealers, on the other hand, dont have to PAY for the car untill the title comes in. (They write a check but the auction does not cash it untill the title comes in)
In my state, it makes no difference as the buyer does not “get” the title when they buy from a dealer. They get a title application which allows them to register, buy a tag and legally drive it.
I have sold probably 5-6 dozen cars before I paid for them and if I sold it fast enough, I got the buyers money before I had to pay for it.
All that being said, I have had a few instances where it took 3-4 months for me to get the title, then I would send it to the state who would turn around and issue a new one to the buyer.
What I used to do is carefully explain the situation to the buyer.
Told him he had a bill of sale and the car and I GUARANTEED to get him a title. I just couldnt guarantee exactly when.
Dealers have to be BONDED in most states for exactly this kind of issue. Dealer bonds are very cheap because most dealers have no incentive to not get people their titles.
I have had people demand their money back and I offered it to them. I have given people a few hundred of their money back with the agreement that when I get the title and show it to them, they would give me that money back.
A poster above said its illegal to sell a car without a title and thats just 100% WRONG.