1st Car help!!!

Marc25

Hi everyone!

I just need to know the legal side of the following:

My very close friend has a car i can buy off him.
He has 2k left to pay on finance.

The only way i can buy the car off him is to pay monthly - (we are both happy to do this) he then pays the finance company.

trouble is i dont know if this is legal? and what the legal requirements are.

in an ideal world i would either have 2k and buy it outright for cash or get a 2k loan.
I can't do either of these!

Do finance companies switch over finance agreements??? i would be happy to do this.

Also...

Is it illegal for me to insure the car in my name stating im not the owner and give him the money each month? without causing him grief from the finance company if for example i wrote the car off (touch wood)

fyi - i would prefer to get Full Comp as a safe guard.

thank you so much for any advice!

MX5huggy

How much is the car worth? just because there is 2k on the finance does not mean it is worth that. What make model age mileage is it?

You have to tell the insurance companies that you are not the legal owner which will limit the number that will give cover.

Marc25

its a rover 25 1.4
02 plate
1yrs mot no tax
i've looked into price and it's about right.
He was going to advertise it for 1999 and obviuosly he'd get knocked down a 200 ish due to current market etc etc...

What about the finance company bit??
thank you

Marc25

mileage 40k

harveybobbles

Well it certainly ISN'T worth 2000!! It's worth HALf that at the most!

I've just given some bloke 1250 in PX for an 03 plate MG with leather etc done 50k.

As for the finance side of things, it's not his/her car to sell - it's owned by the finance company until it's paid for in full.

LandyAndy

I don't think anyone trying to sell you a 6 year old Rover 25 for £2k is your friend, unfortunately.

Buy a proper car, with your own finance (if you have to).

Marc25

i've not asked your views! advice on legal req only

mymatebob

Marc25 wrote: »

i've not asked your views! advice on legal req only

The car is not his to sell - until he has paid off all the money the car "belongs" to the finance company.

Marc25

what about if i was borrowing it?

Hintza

Marc25 wrote: »

i've not asked your views! advice on legal req only

Well if you don't want views this is not the pace to come.....wait until Conor get's here!!

As has been said the car is not his to sell. You can't really borrow it either will ne problematic to insure especially with finance outstanding.

And to reiterate with a VIEW..........are you barking mad buying it at that price?

mymatebob

Marc25 wrote: »

what about if i was borrowing it?

You could borrow it from time to time I am sure. As long as you didn't become the main driver as long as you didn't pay your pal for the privilege of borrowing it and as long as suitable insurance policies were in place.

TBH I think this is a non-starter for all sorts of reasons, and if the finance company got wind of it then I suspect you would both be losers.