My question involves an auto loan or repossession in the State of: IL
Please do not judge me for my stupid mistakes; I am already paying for them.
1. I bought a car from a later turn to be suspicious person.
2. The clean duplicate title for the transaction was under the name of another person
3. I went to my police department to verify the car was not stolen or involved in any illegal action. Police checked out and said it was OK.
4. I purchased the Car Report of the vehicle and it shows there is a “loan/lien” on the same date the duplicate title was issued.
5. I tried to contact the former owner at the address shown in the title and insurance card to verify if there was a loan or illegal issue but a person living there denied any knowledge about this person or the vehicle. I did not insist to prevent any harassment complaint.
6. I went to the DMV to verify the status of the car and they said “there is not a lien or any problem with the car, just wait 3-4 weeks for the New Original Clean Title under your name”. After three weeks I received the original clean title already under my name.
7. The DMV on its web site never showed or actually shows any lien for this car.
8. I do not know the company reporting the loan and the Car Report Company cannot give it to me due to privacy policies.
9. I am trying to avoid any legal or personal confrontation with the seller and the former owner but still I fear I could be a victim of a “buy nothing fraud”.
So far I am the legal owner with an original clean title but If there is a not reported lien to the DMV and that there is a pending loan with the former owner;
1. Can the lending company repossess the car with a clean title now under my name?
2. Does the lending company have any right to repossess since they did not report on time the loan/lien to DMV and the loan is not under my name?
3. Does the lending company have a time limit to report a lien to DMV and execute a repossession?
4. If there should be any loan and they try to repossess my car, can I negotiate the balance since it could be worth still paying for it? Another “Cash for Title” Company said they would not lend more than 2k for this car.
5. If I sell the car with the new title under my name what could be my responsibilities if there is a loan/lien problem in the future with the next owner(s)?
Thanks for your comments and advice.