Selling a Car You Still Owe Money On

Can You Sell a Car You Still Owe Money On?

Yes. South OC Autos, a licensed California dealer (#94258), buys cars from private sellers in Orange County while they are still making payments on them. We get the exact payoff figure from your lender, pay the lender directly, and you get whatever is left over by cashier’s check. You do not need to pay off the loan first, and you do not need the title in your hand.

We pay your lenderThe exact payoff, directly
Cashier’s checkFor anything left over
No title neededYour lender is holding it
License #94258Licensed California dealer

How the Payoff Works

Three steps, and you never have to come up with money to clear the loan yourself.

1
Tell us about the car and the loan

Year, make, model and mileage, plus your lender’s name. Have your account number ready so we can confirm the payoff figure.

2
We confirm the payoff and make an offer

The offer is for the car. The payoff is just how that money gets split between your lender and you.

3
We pay the lender, you get the rest

At the meeting we pay your lender the exact payoff amount. Anything above that is yours, by cashier’s check.

01

An Example

If we offer $14,000 for your car and you owe $9,500, we pay your lender $9,500 and you get $4,500 by cashier’s check.

Those are example numbers only, to show how the split works. Your offer depends on your car. Not sure whether yours is something we buy? See the vehicles we buy.

What If You Owe More Than It’s Worth?

We can still buy it. If your payoff is higher than our offer, the difference has to be covered before the sale closes. There are two ways to do that:

You pay us the difference and we pay off the whole loan, or you pay your lender down to our price first and we pay off the rest.

For example, if we offer $14,000 and you owe $16,000, the $2,000 difference gets covered one of those two ways. Again, example numbers only. Tell us your payoff amount up front and we will walk you through it.

What to send us

  • Year, make and model
  • Mileage
  • Your lender’s name
  • Your loan account number
02

At the Meeting

We meet, usually at the bank, look the car over and pay your lender the payoff amount directly. You get the difference by cashier’s check. The whole thing takes about 15 to 20 minutes.

Your lender is holding the title and releases it once the loan is paid off. We handle the DMV paperwork. The full process is on how selling to us works.

South OC Autos completing a car purchase with a seller at the bank
About 15 to 20 minutes
Checklist

What To Bring

  • Your driver’s license
  • Current registration
  • Your lender’s name and account number
  • The title, only if you have it. With a loan, you usually won’t.

The title has to be in your name. If two names are on it, the FAQ covers who has to sign.

After The Sale

Two Things To Do

File a Notice of Transfer and Release of Liability with the DMV within five days. It is free and takes about two minutes at dmv.ca.gov.

Keep your insurance until the sale is done. There is more on both in our answers to common seller questions.

#94258CA Dealer License

Who You’re Dealing With

South OC Autos is a licensed California dealer, #94258. We hold a wholesale license, which means we buy cars from private sellers and don’t sell to the public. You’re dealing with a licensed business, not a stranger from a marketplace app.

Still Making Payments? Get an Offer Anyway.

Text us the year, make, model, mileage and your lender’s name at (714) 987-1070, or use the offer form.

Get your offer started

Rather text? Text us