Used tractor. Title?

[cathy liebchen]

Pretty good post concerning purchasing used Tractors. Should also apply to anything without a Title. No titles for Boats, Trailers, ATVs UTVs, etc in Alabama. Buyer beware. I asked my credit union if they could do a search for liens when financing used equipment and she said no.

How to Protect Yourself When Buying Used Tractors or...

www.greentractortalk.com

Sure you can search for liens just run a UCC SEARCH

 

[TimberFarm]

One thing I do for large purchase:
See if there is a bank branch of my bank if I'm buying, and customer's bank if they are buying.
That way you both go the bank and you withdraw the funds from your account and purchase a Cashiers Check from the bank with both of you right there.
No chance that you get a "conterfiet" check or chance of it bouncing as the bank won't print the check out if there aren't the funds available.

 

[michelleb]

I have the possibility of buying a used tractor this weekend from and individual (not a dealer). If it works out I will pay cash. I know this is a dumb question but do tractors have titles like a car? My current tractor was purchased new 17 years ago. If there was a title I don't remember one and have no idea where it is.

Yeah, I agree with the other comments, using a bill of sale is the way to go. It’s not only an easy option, it’s a really safe one too. You never know what stuff the seller might try to pull down the line or what other problem you may have.

With the bill of sale, you have an official receipt to prove the tractor is yours, and you bought it legally. This website has a great template for all kinds of bills of sale.

I would even encourage you to get it notarized. Some states require it anyway.

 

[LS Tractor Owner]

Yeah, I agree with the other comments, using a bill of sale is the way to go. It’s not only an easy option, it’s a really safe one too. You never know what stuff the seller might try to pull down the line or what other problem you may have.

With the bill of sale, you have an official receipt to prove the tractor is yours, and you bought it legally. This website has a great template for all kinds of bills of sale.

I would even encourage you to get it notarized. Some states require it anyway.

But.... if there is a lien on the tractor from a previous sale, your bill of sale from a fraudulent seller, will do you absolutely no good. The lien holder can and will take the tractor and owe you nothing.

 

[cathy liebchen]

I think that most people, including me, get excited when they find a "good deal" and forgo the due diligence that they would normally use. As everyone can attest, things that are for sale at a decent price go fast, and a lot of times it's a seller's market. If you don't buy it, the next person will. I searched online for months for my sig tractor because I wanted to pay cash and let someone else eat the depreciation. When I found my Bee, it was the second owner who replaced it with a zero-turn. It was previously used as an overpriced lawn tractor. Anyway, he was not a scoundrel, nice home with land and I trusted him. YEA. Anyway, it checked out, checked the Alabama UCC. Not specific to the equipment but will show if the seller has a LIEN on something. Then start asking questions.

UCC will show if there is a lien on specific units

 

[cathy liebchen]

We just sold a tractor. They paid us on Venmo then came and picked it up. We gave a bill of sale

 

[4570Man]

We just sold a tractor. They paid us on Venmo then came and picked it up. We gave a bill of sale

I might trust Venmo for mowing someone’s yard but there’s no way I’d accept that for selling a tractor. They also send you a 1099 for any funds transferred.

 

[cathy liebchen]

I might trust Venmo for mowing someone’s yard but there’s no way I’d accept that for selling a tractor. They also send you a 1099 for any funds transferred.

1099 is fine we report everything . No income tax on sale of a capital asset at less than basis

 

[Raul-02]

If there was a title

Not title in my state.
Which I think is too bad from the point of view of theft. but good from the point of view that if they ever decide to issue titles you know the thieves will start taxing 'em.

 

[blitzen]

I sold a bobcat to a tractor dealership, he ran the s/n to verify it wasn't stolen. I am not sure if he did or did not-it is what he said he did. If that is true maybe you could have a dealership verify your serial number? Just a thought.