We are making a loan to an individual for the purchase of a tow truck and equipment attached to the truck. We will be giving the borrower the check to take to the dealer. Our loan officer is wanting the borrower to sign a "Trust Agreement" stating he will have our lien recorded on the title. Has anyone heard of a form like this? If so, where can I find a sample?

Thanks in advance!

Maybe a "Purchase Draft" would work better. Are you familiar with them?

We use what we call a "Trust Receipt" in these and many other cases. If someone takes a car title, etc., out of the bank to have it transferred into their name or have our lein registered on it, they must sign a trust receipt with the make, model & VIN on it stating that the title is in their possession, and basically promising to bring it back ASAP. We use this a lot for our dealers that have floor plans. It may not have a lot of weight behind it, but it lets the customer know that you do keep up with whatever titles, etc., are out of the bank.

Hope this helps