Free boat but....lien issue

[ktmrider]

A friend of mine wants to give me his jet boat. It's one of those 2-strokes 150HP jet boat.

He financed it but defaulted on it a long time ago. Of course he hid the boat for so long that the bank basically wrote it off. Recently, he went to the same bank to resolve the issue but now the bank has no record of it.
There's still a lien on it but the bank has no record of it now.
His wife wants to get rid of the boat so he asked me if I want it for free.....

We're both in California. Does anyone know how to get the boat transferred to me legally?

 

[Gary H NC]

Re: Free boat but....lien issue

Yep! Pay for it and have the bank contact the DMV to release the lien...
Sounds like a shady deal for both parties...

 

[fat fanny]

Re: Free boat but....lien issue

try a salvage title? may work may not just try the DMV and see

 

[coastalcruiser]

Re: Free boat but....lien issue

what i know about liens is once you own the item its your responsibility.
I always go down and get it checked myself, your friends word is about as good as his credit imo.

 

[ktmrider]

Re: Free boat but....lien issue

He went to the bank to find out how much it would cost to release the lien. The bank didn't want to talk to him because they don't have anything on record with regards to this boat.

...and please do not judge me about being "shady" until you know the facts!

 

[ktmrider]

Re: Free boat but....lien issue

Yep! Pay for it and have the bank contact the DMV to release the lien...
Sounds like a shady deal for both parties...

Whatever!

I called the DMV. Those idiots couldn't even give me a straight answer.

So I just called the DMV again and got someone in the know.
The guy basically said there's no way the bank doesn't have the lien info on the boat. Even if they wrote it off, they must have the info. He just needs to get to the right department.

Also, since the bank is not going after the guy or trying to get the boat back, just continue to pay for the registration fees and use the boat. The dmv guy told me to just pay for the fees and just use the boat. Who cares if there is a lien on the title.

 

[smokeonthewater]

Re: Free boat but....lien issue

plain and simple.... you will need a lein release from the bank.... he gets a copy of the title from the dmv... in order to sell it he takes that title to the bank and they sign off to release the lein.... or he may be able to transfer it to you with the lein intact and then you go to the bank and they sign off on the lein..... either way the bank has the right to reposess if they choose.... there is likely a record somewhere but just not at the branch

 

[RWilson2526]

Re: Free boat but....lien issue

Whatever!

.

Dude, dont get bent out of shape because Gary said it was a shady deal....you have a friend that defaulted on a loan which no one will hold against him, things happen, but then "HID" the boat so it wont get repo'd...thats gonna **** alot of people off so be ready for it....

As far as the dmv advice, I would agree and keep using the boat but it does not solve your problem about how to get into your name legally.

 

[Shamus O'toole]

Re: Free boat but....lien issue

Were I'm from thats called stolen property.

 

[Bondo]

Re: Free boat but....lien issue

Ayuh,... You can probably register it in your Buddy's name drive it on His registration til it Pukes...
But,...
Until the lien is satified,...
You'll NEVER Own it...

 

[Home Cookin']

Re: Free boat but....lien issue

The banks are hard to deal with these days so it's very likely they stuck it somewhere in the "write off file" and can't or won't go look.
Perhaps your friend can apply for a replacement title, and when "DMV" processes it, it will come up with the lien. then see if you can pay the bank $100 to release it--go into the bank lobby and see if you can get someone on the floor, not a teller. Act and dress professional.
Don't operate it under his title--starting with insurance and ending with theft laws, you don't want to do that. I am sure your friend hasn't kept up the insurance. And when the Marine Patrol asks for your registration....

Every state is different, but if I were presented with this problem here, and I've had similar, I might try the abandoned boat title process. If it's like here, you will end up giving the bank notice of your "auction" and if it chooses not to participate, you can wipe out its lien and get clear title.
No matter what you do, and you have to do something, it will take time, patience and money.

 

[Don S]

Re: Free boat but....lien issue

The banks are hard to deal with these days so it's very likely they stuck it somewhere in the "write off file" and can't or won't go look.

That or they did go look. Now they are waiting till it gets fixed up and worth something so they can go after it again.

 

[rjwoodrome]

Re: Free boat but....lien issue

Now anyone who deals with the NY DMV knows it can be an exasperating experience just walking in the lobby. I want in with a title for a harley that was issued 10 years prior to my visit with a lien on it. told her that i didnt have the release she didnt care. Issued new papers any way recieved new title thru mail. lien was transferred to my new title.10 years later again still listed with lien on title.. although I did get the release from the previous owner and attached to the title for when if ever I do sell it. 1986 lowrider

 

[JB]

Re: Free boat but....lien issue

My advice is walk away. Your "friend" seems to have broken the law by hiding the boat from the bank, but even if he didn't break a law he was dishonest.

Somebody is, sooner or later, going to seek restitution.

I wouldn't want to be in the middle of such a case.

 

[And-Con]

Re: Free boat but....lien issue

For what its worth i second the abandonment title, idea but i dont know the specifics regarding your states laws

 

[carbineone]

Re: Free boat but....lien issue

is there maybe a statute of limitations on such things.Maybe if you can hide something long enough it will be yours..Just a thought.

 

[Wishiniwuzfishin]

Re: Free boat but....lien issue

The way it would work in my state: If he still has the title go to the title office and transfer it into your name. If it does have a lien on it the title office either won't find it, won't care, or tell you it has a lien on it and will probably transfer to you anyway. It's not the title office's job to do a title search. Or they tell you they can't transfer it. If they transfer it you got a free boat which may have a lien on it, so I wouldn't do a $20,000 restoration on it. If he doesn't have the title ask him to apply for a duplicate. In my state, DMV or BMV, whatever, doesn't have anything to do with it.

 

[RepoMan207]

Re: Free boat but....lien issue

I think your buddy is lying to you for some reason.... If you call his bank's collection department yourself with the HIN you'll get a whole different story I assure you.

I can tell you this though, the banks & institutions I deal with on a daily basis would take you to court before charging it off. A judgment doesn't expire in 7 years like a charge off does. They then can attach a lien to everything he has....house, cars, ATVs, you name it. He wouldn't be able to sell anything without the bank first getting their money.

There are a few ways around getting a lien removed. If you want to know more call me tomorrow EDIT. If not, use it and dump it when your done.

 

[Yepblaze]

Re: Free boat but....lien issue

I had a boat years ago that had a lien against the title in California. I had no problem acquiring and renewing the registration in my name for years, or any difficulty transferring interest in the boat with lien against it's title to the next guy.

The response from the DMV guy about wraps it up as far as I had experienced.

 

[RWilson2526]

Re: Free boat but....lien issue

Maybe I am missing something or is it just a New Jersey thing....if you finance a car and I am assuming a boat doesnt the bank hold the title? when you pay it off they mail you the title. In NJ you cant register a boat without the title in your hands signed over to you by the previous owner so if the boat is not paid off the bank should still have the title?