What to do if I paid off a car but the previous owner is claiming that I still owe money onit?

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What to do if I paid off a car but the previous owner is claiming that I still owe money onit?

I have a clear clean title to the car in my name; no loans or liens on it. I have paid it off but he wants more money now. What are my rights and do I need to be worried about owing money or losing the car?

Asked on August 9, 2011 Texas

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

If you have registered title to the car in your name that you purchased from the prior owner and there are no prior liens or loans connected with it while previously owned, you have no obligations to the prior owner assuming you paid him or her all that was owed in its purchase.

Keep copies of all letters received from the prior owner, notes from telephone calls, and e mails.

You need to write the prior owner a short and detailed letter asking for the specifics as to why he or she claims you owe additional monies on it after payment in full was made. Keep a copy of the letter sent for future need.

The worst thing that could happen is being sued by the prior owner. However, by being vigilant and setting up a paper trail against the prior owner, if you are sued, you will be in a better posiiton to defend the claim at trial.

Good luck.


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