Importing a car to Canada from the US when you still owe on it!

[z28eater]

Hi there!
My husband who is American purchased a vehicle last year. Unfortunately, he is upside down on the car so it's going to be hard to get rid of. I spoke with US customs and they said that they would be willing to export the car to Canada as long as we could get a letter from the lien holder. Has anyone had success with this in the past? What has been your experience importing a car into Canada?

 

[CDNPR2014]

it is highly unlikely you will be able to get a letter from the leinholder allowing him to import the car to canada. that means they would no longer have legal authority over the car if he defaults on the loan. while it never hurts to try, i doubt anyone has actually been successful doing this.

if he wants to import the car, he needs to own it outright. he won't be able to import without the title in his name.

 

[harirajmohan]

it is highly unlikely you will be able to get a letter from the leinholder allowing him to import the car to canada. that means they would no longer have legal authority over the car if he defaults on the loan. while it never hurts to try, i doubt anyone has actually been successful doing this.

if he wants to import the car, he needs to own it outright. he won't be able to import without the title in his name.

Thats correct. Both the guys at the border want the title (i called the cbsa specifically - they need title and bill of sale). Actually the CBP stamps the original title (punches without ink mark/holes) and then it needs to be presented to CBSA.
I dont think we can import without having title on our name.

 

[mattdkerr]

I'm in the same situation on two cars, and will have to sell them each at a small loss. What I'm not sure of is the best place to do this. One of them is financed through the manufacturer's special financing services division, so I'll probably go to the dealership for that one. I'm inclined to sell both of them (same make for both) there as well, even if it may not be the best deal for me. I think they would handle the paperwork more reliably than I could myself, and I avoid having to deal with the financing companies directly. I believe they will send the checks to the financing companies for me, but I'm not 100% sure on that.

 

[PMM]

Hi

Thats correct. Both the guys at the border want the title (i called the cbsa specifically - they need title and bill of sale). Actually the CBP stamps the original title (punches without ink mark/holes) and then it needs to be presented to CBSA.
I dont think we can import without having title on our name.

1. Not quite right. The lender can give permission to export the car. Not usually granted though, as the lender would have no longer have collateral to seize if the lessee defaulted.