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Changing Car - Pay off Loan

karldenton
karldenton Posts: 50 Forumite
in Loans
Hi,

I got a loan out 2.5 years ago to pay for a new car - its with HSBC. I owe approx £2200 on it.

The car is broken down (long story) and don't trust driving it any more.

I'd like to get a car from garage on their finance as they are doing a good deal.

Is it best to sell car private first and pay off the loan with amount I get and use the rest as deposit ?

If I went to garage first can they arrange finance and sort out some way of transferring / paying off loan ?

Any ideas ?

Thanks

Comments

  • chanz4
    chanz4 Posts: 11,054 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Xmas Saver!
    you will get more for it private
    Don't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.
  • Apples2
    Apples2 Posts: 6,442 Forumite
    Was it a Personal Loan for the first car (i.e not secured on the car)?

    If so, sell it privately and use the remainder of the money as the deposit.
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