Crooked dealer headed for jail

mt1729 wrote:
They are tied together. You have to have proof what you are buying does in fact exist or the bank won't make the loan. The paper work goes to the bank to have a lien added to it & then is sent off to be titled. After the title work is done & you receive it, you will see where a lien holder has been added to the title. Of course if you go through a loan shark they don't care about a title. They just break your legs if you miss a payment:).

Except that the bank doesn't require you to prove the item exists until AFTER they give you the money. At that time, you owe the money back regardless of whether the item exists or not.

You go into the bank and apply for a loan for an RV. They approve the loan, you go to the dealership and buy the RV with the money from the loan, and THEN the title is changed over. If the dealership never files the paperwork to change the title over, that doesn't void the loan. You still owe that money back to the bank. And if you can't get the dealership to refund the money or provide the title, you are stuck owing money for something for which you don't have proof of ownership. That's a scam and it's not the victim's fault.