Selling a car with outstanding finance privately?

Kilty_2

Not doing it, just curious:

Say I'm advertising my car for £X and have £Y outstanding finance on it and make this clear to you when you view the car - would you buy? (£X > £Y)

If not, why not?

Anything you'd insist on? etc?

What would happen - would the buyer need to settle up with the finance co and then give me the excess?

:T

Blobby8_2

I bought a motorbike a few years ago £2500 cash, when I did the HPI (?) check they said it had outstanding finance so I contacted the finance company for a final settlement figure (£1700). The guy then transferred the bike to me and I gave him £800, I then paid off the £1700.

AnnaV

No, I wouldn't touch with a bargepole!

Contract would still be between seller and finance co. Finance co would probably still own the car, so if the seller didn't pay the finance co, I could get the car taken away.

Kilty_2

AnnaV wrote: »

No, I wouldn't touch with a bargepole!

Contract would still be between seller and finance co. Finance co would probably still own the car, so if the seller didn't pay the finance co, I could get the car taken away.

Couldn't you as the buyer pay the finance company directly though, just like a car dealer does if you P/X a financed car?

vikingaero

Kilty wrote: »

Couldn't you as the buyer pay the finance company directly though, just like a car dealer does if you P/X a financed car?

I'd have to really want the car or the car would have to be a limited edition/classic for me to by it from you with finance on it.

If it's a common car, why buy from you with the hassle of sorting the finance out when I can pop 15 miles down the road and view an unencumbered car?

The element of finance adds an extra chance of being scammed from both sides: I pay you the money and you agree to settle the finance but don't; I pay the finance company and you refuse to release the car etc etc.

Kilty_2

Fair enough. Lot of dishonest people selling cars right enough.

gilbert_and_sullivan

This exact scenario prevented us from buying a particular car in August.

The fact the bloke sounded like a modern day version of George Cole's wideboy St Trinian's spiv didn't help.

motorguy

There is no issue with the buyer accompanying you to the finance company office, clearing the finance and then giving you the difference.

Flyboy152

Kilty wrote: »

Not doing it, just curious:

Say I'm advertising my car for £X and have £Y outstanding finance on it and make this clear to you when you view the car - would you buy? (£X > £Y)

If not, why not?

Anything you'd insist on? etc?

What would happen - would the buyer need to settle up with the finance co and then give me the excess?

:T

Yes, the buyer would need to settle the finance before transferring the car.

Kilty_2

pgilc1 wrote: »

There is no issue with the buyer accompanying you to the finance company office, clearing the finance and then giving you the difference.

This is the answer I was hoping for :T

Thinking about what will happen when I need to dispose of my Picanto after 3 years and whether it's worth trying to make more out of a private sale rather than an easy dealer sale.

atrixblue.-MFR-.

i wouldnt be interested in settling finance on a picanto sorry no offence it may work out dearer than looking further into the ads that has no finance on owing on it even if you were prepared to settle it infront of me.

i doubt youd make any profit margin out of it once the settlement fee's have been applied.