How to transfer your car loan to another person?

[thiendngo]

Hi,

So I am selling my car. The buy has preapproval from his bank. My car still has balance and it's with Honda Financial. 

Do you guys know how to do a car loan transfer?  I googled it and couldnt find any concrete information about what I need to do to transfer the car loan.

Thanks in advance.

[Brian_Earl_Spilner]

Buyer gets a loan and gives you a check. You pay your loan off.

[thiendngo]

So I pay off my loan, then how about the title transfer? Also, is there any fee coming doing it?

thanks

[203bravo]

If the buyer's bank wants the title they can send a check directly to your lender and then the title will be released directly to them. Otherwise as stated you would pay off your currnet loan.. your lender will release and send you the title.. once recieved you will sign it ove to the new owner (buyer) as indicated and then forward it to them... I have not a private sell in a while and not sure your state laws and regulations but there should be no fees due by you in this process. 

[Loquat]

Be sure to check with the DMV of your state. Each state handles the transfer of titles differently. You don't want to make any mistakes because obtaining a duplicate title is a time consuming process.

[Anonymous]

You don't transfer the loan per se, the buyer obtains their own loan. You'll need a Bill of Sale, possibly the front and back of your title (depending on if their bank requests it) and you'll need to eventually provide them with a lien release (a document your bank will mail to you once your car is paid off, the buyer will need it to register the car.) Once you agree on a selling price, the buyer will take the bill of sale to his bank and they'll draft a check. You'll take the check to your bank, pay off the existing loan and either pocket the difference or pay the difference to your bank, depending on how much you owe.