How to sell a car that is still under car loan payments?

How to sell a car that is still under car loan payments? To make it easy, you need pay the loan off before the title will be released to you to transfer to new owner.

You need pay the loan off before the title will be released

There are two scenarios to consider: simple and more complicated

• Simple scenario — you sell for a car for more than what you owe: In this case, your buyer can go to your bank where the loan originated and deposit the remainder of payment then the rest of money to you in cashier’s check. A bill of sale was generated, and the title will be mailed to the buyer in the next 7 to 10 days.
• More complicated scenario — you sell for a car less than what you owe: Your car buyer can deposit to pay off the car loan payment, but you need to immediately come up with a payment to pay off the rest. If you don’t pay on time, the buyer cannot get the title from your bank and your loan will not be settled.

In either case, definitely leverage your bank where your car loan was originated to make it super simple.