Used Cars: Selling my car, letter of guarantee, selling your car

Question
Hi Danny,

I want to sell my car however it has not been paid off yet therefore I do not have the pink slip.  I estimate I can sell my car for about $14k-$15k and I owe about $8k on my auto loan.  How would the selling process work if I do not have the pink slip?  Would the buyer go with me to my bank and pay my bank directly??  Please help.  Also, I am a California resident if that matters.

Thank you,
Angela

Answer
You should call your bank. My experience is that once you pay your car off it takes 21 days to receive your title. Most banks cannot give you your title on the spot, they are usually kept at a different location/dept. Your bank should be able to supply a notarized piece of paper which would guarantee the buyer the title, a "Letter of Guarantee". The only other solution is to payoff your vehicle in advance if you know you can sell it. I would contact my bank first and see what they are willing to help with. Good luck selling your car, let me know if I can help with anything else.