The Expert Podcast

…So what if you have a car that you own or you purchased, and there was a loan on it but that loan has been charged off or went through bankruptcy or maybe it was repo went through repo but they didn't want the car back. what that means is that there's a loan on the car The loan was in default or bankrupted. It never was paid off but the company the lender just didn't come pick up the car that does not mean that you own it It just means that the bank didn't want to physically take the car. The loan is still on the title record The lien is still a cloud on title. Even if it's a bankruptcy, that's going to show on the title. What you need to do is what's called lien mitigation. If you are. The borrower of that loan, you're going to need to contact a lender and have them issue a lien release letter. If you're the borrower that did not pay that loan back, they might not be as motivated to do it. If you're a third party that's innocent that bought this car from somebody you weren't the person that defaulted on the loan, the lender might give you a lien release document. Either without costs…for a very small fee of just them doing the paperwork As long as you can represent your an arm's length away from that borrower sometimes just on principle they don't want to give somebody a car that didn't pay for their bill. Remember a charged off loan a defaulted loan. or a repo that hasn't been physically picked up. Even if the bank told you we don't want the car back, that does not mean you own it That does not mean the lien is cleared It just means they don't want to go through the hassle of pain to get that car repossessed shipped inspected put through an auction because that might cost them eight or 900 a thousand dollars. If they're not going to get that much from the car, they don't really want it back Now it becomes your problem because it's on your driveway or in your garage it's a nuisance. You need to sell it or get rid of it. It doesn't mean you own it just because they said they didn't want it You still have to go through lien mitigation process. We have some information on that on our website car titles.com under the lien release section about how to do lien mitigation how to get a lien release for a vehicle If you have any questions you can call us up and we can help you out with that.