Encumbered CRs

[kenz]

whats the safest way to buy cars with "encumbered" status. owner claims its already fully paid with release of mortgage papers. pero di lang niya pina change ang CR to a new one without the "encumbered" mark.

are there ways to make sure the transaction is valid or do i just walk away?

[emanzano]

Bro, ask the seller to have the encumbrance removed first. If ayaw niya, walk away na lang, regardless of how much you like the car or how great a deal you think it is. Lalo na if encumbered yan sa bank or financing company... hahatakin nila yung car from you.

[tedd]

whats the safest way to buy cars with "encumbered" status. owner claims its already fully paid with release of mortgage papers. pero di lang niya pina change ang CR to a new one without the "encumbered" mark.

are there ways to make sure the transaction is valid or do i just walk away?

better check with the bank dun sa morgage paper nya. clear na ba sya sa registry of deeds? mine is for changing of OR/CR on its assigned LTO, di ko lang maasikaso, since plan ko is sa rehistro ko na sya lakarin. release na mortgage paper ko at ok na ring sa registry of deeds.

[coiter]

for me ok lang naman kung encumbered pa. as long as legit nga yung release of chattel mortgage papers. added hassle and expense ka lang nga to go to the registry of deeds for the unencumbered CR. so unless may runner ka and is ok to spend an additional 500-1k, ipa-release mo na lang sa previous owner. though i doubt na gagawin pa nya yun.

just last year may nabili ako na encumbered pa and that's the process i took. wala namang problema kasi pinalakad ko lang. good luck.

[alainroyce]

Mahirap pag may encumbered pa.. kahit may release na ng chattel mortgage.. dapat ma check din kung ok na sa registered of deeds.. pano kung sa manila binili yung auto, then yung resident address nya sa cotobato? so yung registered of deeds nyan sa cotobato pa... eh di pupuntahan mo pa dun... better transfer 1st to the seller name.. less than 2k lang expenses nyan kahit bayaran mo na.... para walang hassle..

[swordsman]

whats the safest way to buy cars with "encumbered" status. owner claims its already fully paid with release of mortgage papers. pero di lang niya pina change ang CR to a new one without the "encumbered" mark.

are there ways to make sure the transaction is valid or do i just walk away?

safest way is to have him handle the process of getting a new copy of CR without encumbered mark. mabilis lang naman yon, unless sa Cebu pa kailangan gawin at nandito ka sa Manila.

at tama din naman mga posts above, since complete naman release of mortgage papers...hassle nga lang sayo. pero check maigi saan yong LTO office sa CR kung madali lang ba puntahan.

[giansweet]

same scenario for me. the car i'm buying is previously owned by the company of my friend. dati nya service car. he bought it sa company pero yung CR has an encumbrance. Pero may DOS sila.

ano gagawin ko?

[1D4LV]

may kasama namang release papers yan. its not an issue. kung walang kasamang release papers yan, walk away.

[Galactus]

Ok lang kahit may tatak pang "Encumbered." Madaming ganyan na kaso. Just make sure na may kasamang cancellation of chattel mortgage na kasama. (In my case, fully settled na yung car loan ko 2000 pa. When I sold it to a friend in 2007, siya na nag-lakad ng cancellation sa RD at pagkuha ng bagong CR sa LTO).

[[archie]]

tanong lang mga boss:

kasi may natitipuan akong 2nd hand kaso may encumbered. meron naman release papers pero hindi ko maverify sa bank. nasa kanya yung original CR. takot lang kasi ako bumili baka kasi may utang pa or something.

my question is: is there any other way to check if the unit is fully paid? would verification from the RD be enough?