lien search?
 

has anyone ever heard of this before.ive got a guy wanting to buy my boat.he is getting a loan thru his bank.his bank has a copy of my missouri "documented vessal certificate of registration" and the u.s. coast guard "certificate of documentation".

they are telling him that they have to have a lawyer do a title/lien search before they can loan him the money.AT A COST TO HIM OF 450.00 and it will take a week.

does this sound right?

I can understand the lien search, but the cost sounds too high. Just my opinion. Backtracking any previous liens on the boat (old loans) should be easy enough. The lien would/should have been listed on any previous title and that is public record. I may be wrong?

He may be BSing you on the price of the title search to use it as a bargining tool. It should not cost $450.00. The last time I bought a boat and had a bank mortgage the boat they did the title search for free and only took a day or so. I was buying a boat from another state and assumed this is why it took two days. Nontheless they never said anything about paying for the title search.

Ron

A couple hours of Mr. Attorneys time $450 no problemo, Seems strange though in this time of mass communication that it should take more than five minutes to run the title!:confused:

First.

If it is a titled then you don't do a lien search you look at the title as see who's lien appears of record. You can call the court house (in ours it's not the DMV but the rather the recorders office, where home mortgages are filed) and sometimes they will give you the lien information depending on their mood.

If the boat is not titled then you need to do a UCC search, which for most states is accessed throught the secretary of states office, many are free and some are a small fee, you should check any state that the boat has been registered in just in case, with the old UCC9 you filed in the state where the collateral was located and now you file were the person or entity live or in the case of a corporation you file in it's state of incorporation.

If it's documented then I am sure you need to check with the coast guard and I believe you can search on their site but I can't remember. I know it's expensive to deal with the coast guard, so he may be correct if it's documented.

Most banks screw you, on my current loan they charged me $150 to title, which is total crap I know a title is $10 and $7 for the lien notation because our bank files them all the time. It's like the car dealers documentation fee.

if i remember right , and its been awhile , i surrendered the state issued title (oklahoma) to missouri when i paid the registration.missouri then issued me the "documented vessal certificate of registration" so shouldnt the state of missouri have my title on record as being a "clear" title?im going to call them tommorow.the guy i bought the boat from gave me a "clear title" no loan on the boat.i paid cash for it also.stock market gains (ha , those days seam long gone).the boat had never been documented until i did it.im only the second owner.Von Bongo , what does UCC mean?

thanks for your input guys.

HOW DO I OBTAIN TITLE INFORMATION FOR A DOCUMENTED VESSEL?
You may obtain an Abstract of Title which will show all bills of sale, mortgages, and notices of claim of lien filed and recorded by the Coast Guard. You may request the Abstract by fax if you pay by credit card or may mail your request with the appropriate fee to the NVDC. To get accurate information you must supply the name and official number of the vessel.

hmm , just found this on the U.S.C.G website.either his bank is screwing him or they dont know any better.im going to try and get the info for him.

"if i remember right , and its been awhile , i surrendered the state issued title (oklahoma) to missouri when i paid the registration.missouri then issued me the "documented vessal certificate of registration" so shouldnt the state of missouri have my title on record as being a "clear" title?"

woops , guess U.S.C.G. got the title not missouri.

at what age does alsheimers set in?
:confused:

I did it twice for 2 boats .......... $450 and $650 !!
It is in the banks hands . My bank said I had to use their guy and thats what it cost .!!!:mad: Of course they didn't tell me about it untill I was a couple weeks into the paper work and was excited to get it over with and get my new boat ! I think the coast gaurd said they could do it for around $150 but my bank said NO !

It was worth it though ! The title said nothing on it about any liens but the title company found one against a peice of property the guy had bought !! Of course he FORGOT ABOUT THAT ONE !

UCC stands for Uniform Commercial Code.

Sounds like a documented vessel to me, I would think then that the process is more like an airplane then. I would almost bet the boat USA has a service to search the title. Much like AOPA does for planes.

Just checked thier site and here is the link, there are others out there that do the same thing.

http://www.boatus.com/boatloans/service/services.htm

BUT if the bank only accepts their company then your sol and should just understand that is the cost of doing business. Not always right or fair, but the alternative is finding a bank that will.

Good Luck!

Prior to purchasing my last boat, I spoke to a number of financial outfits: banks, as well as companies specializing in boat loans. Depending upon size of boat, most required larger boats to be documented. All had some type of fee for processing & title search etc. Prices did vary, so it pays to shop around. Your price is on high side, but not out of line. But, if cheaper loan rate, it may be worth paying higher fee. You have to look at total cost. Lotoparty is right on the money, as far as getting an abstract of title. It is possible for the owner to have a clean state title, while a lien may show up on the coast guard abstract search. It happened to me on a boat I purchased. It was well worth the small fee for the abstract search. The 2nd owner of that boat had no idea that a lien was against the title from the original owner. he was able to get it cleared up, but better his problem than mine.