Washington Business Daily

How do i switch payments of a financed motorcycle to someone else?

I live in NJ and i have a bike that i want to give to a close friend that is still being financed. We were hoping there would be away to just transfer the payments? If you know how to do this, help me please.

Public Comments

1. Plain and simple. Allow someone to finance the bike at their own bank / lender and let the other person's loan pay off your note. Your contract should have an area in it that discusses transferring the note. Most don't allow this anymore. If they buyer provides their own financing, this will be a clean deal, cut and dry.
2. Your friend will have to buy the motorcycle from you, he can't just take over your payments. He will have to apply for his own loan for at least your current balance, unless he plans on putting money down. Good luck and I hope this helps.
3. You don't. The loan is a contract between you and the lender. You can't change it or assign the debt to someone else. The friend would need to qualify for his own loan and your loan would need to be paid off.