First, make sure that you have the entire deal written down. It will not be an enforceable contract if you don't. You also need to make sure that you get a lien release from the seller or finance company. If you are dealing with a dishonest person, it would be easy for you to get screwed here, and hard to do anything about it. I don't know how much it would cost, but you might consider calling a lawyer in the seller's town and having them handle the transaction. Then you are covered, because if the lawyer messes up you can go after him/her.
Neither. The government can not protect anyone. In fact the FBI building is still closed to tours in Washington DC because the FBI can't protect it's own building. The only protection you have is yourself, and both parties want to reduce your right to protect yourself. The Democratic party has a long history of taking firearms away from law abiding citizens, but can not take guns away from criminals.
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