My wife and I are trying to buy a car from out of state. We are in New Mexico and the car owner is in Kentucky. We are getting loan from A credit union with the car as collateral. The seller does not want to send the title before he gets the money. The credit union does not want to wire the money until it has the title. Someone suggested a bank draft. Could you please explain how that can help us.
The bank, or credit union, would send a conditional draft. The conditions under which the draft would be paid require that certain things be done, such as attaching the clear title and transfer documents. These are sent back to your lender who agrees that the conditions are met and the draft is paid. There is no ability on your part to back out, because the conditions are specific.
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The bank, or credit union, would send a conditional draft. The conditions under which the draft would be paid require that certain things be done, such as attaching the clear title and 