Posted by Ellen Brenn on May 18, 2007 at 12:02:11:
Most people are not acquainted with NYS and the fact that the owner retains title, not the bank. Normally when paying off a motor vehicle loan in New York the release letter is attached to the closed loan papers and mailed to the owner of record - the seller. They probably will NOT mail it to you directly, although you can ask.
Most banks are now holding title or letter for at least 10 days to make sure the check has cleared and the funds are really good funds. It is not unusual for it to take close to 30 days to receive. This, of course, depends on the lender.
My suggestion would be to hold back a small portion of the money paid directly to the seller (small for you, probably not so small to them) - say $250, which you will hand them when they bring you the satisfaction of lien.
I have seen car dealerships send payoffs by regular mail and I have seen them send by overnight mail. It is a choice thing - they won’t release the lien any sooner either way.