VRM outstanding finance.

natnhay

Hi
I placed a deposit on a car from a Dealer and should be collecting on wednesday.
I was told it was HPI clear,but still did one myself today just to make sure.The check has come back showing that there is outstanding finance on the vehicle.It also says that i need to confirm the vin number,v5 issue date and v5 serial number.Unfortunately i cant do this has i do not have the car or documents.
There is a contact number for the finance company so i will ring them tomorrow.I will also ring the garage to find out whats going on.Where do i stand about my deposit if the issue cant be resolved and i want to pull out of the purchase.
I do know that i should have done the HPI first then viewed the car.
Many thanks

forgotmyname

The dealer will probably pay off the balance when you buy it. But i would double check with them also.

I wouldnt buy it unless certain.

natnhay

If that is the case i will ask the dealer to pay it off first and then i would proceed with the purchase when he has written proof that it is all clear.Will ring them also tomorrow.Many thanks

portly1

forgotmyname wrote: »

The dealer will probably pay off the balance when you buy it. But i would double check with them also.

I wouldnt buy it unless certain.

Quite often the case. Very few dealers would be willing to borrow money from their bank to fund a debt owed on the car.

What happens is that once the dealer has a signed agreement for you to buy, he will contact the finance company and strike a deal to get the lowest settlement figure he can.
He then takes your money, pays off the finance house and the rest is his. It's a good way of having lots of stock that he hasn't paid for.

Personally though I never buy a car unless it is through a main franchised dealer. BMW from the main BMW dealer etc. Secondly before I handed over a penny - and I NEVER put down a holding deposit EVER, I would want to see a clear HPI report that I have carried out (not that I don't trust any car dealer!!) I then want to see all of the service records held on their computer screen. (If the car hasn't got a full main dealer history I walk away)

Only when I am completely satisfied do I pay for the car and take possession of it.

AdrianC

natnhay wrote: »

It also says that i need to confirm the vin number,v5 issue date and v5 serial number.Unfortunately i cant do this has i do not have the car or documents.

Ring the dealer, and ask them. Tell them exactly why you want the details. If they start to get tricksy about providing them, then take that as a warning...

The VIN, at the very least, is visible through the windscreen on anything vaguely modern.

Tigerprint

Sometimes it can take quite some time for the details to actually escalate through to HPI. I have had settlement figures & paid off Finance on many occasions & when I do an HPI report it always comes up as Finance owing.... Its quite a loop hole really

natnhay

Thanks for the replies,is it unreasonable to ask him to clear the finance first,(if there is any) before i proceed and complete the purchase.

I will be making some phones calls tomorrow
1st Finance company
2nd dealer

We have rung the car insurer to transfer the insurance at a cost of £300
on a almost like for like car both in insurance group 1,the old one a 2000 reg and the new one 2007 reg,does this seem expensive.I did,not expect to pay this much. All advice welcome.

Tigerprint

It is not unreasonable to ask to see the fax from the Finance Company confirming they have no further interest in the vehicle.

natnhay

I have rung the finance company today,and have been told that the outstanding finance has been settled,but will not show as cleared until the 26/9 because it was paid by cheque.So do i continue with the purchase on wednesday or delay it until i have clearance.Many thanks

colino

As the finance company have cleared it, I'm not really sure what's holding you back. Very few traders have the hundreds of thousands that are sitting (depreciating and rusting!) on their forecourts so pretty usual for cash flow to have finance of some sort outstanding on some or all of them.
One small point on HPi, you cannot take the details over the phone or get a fax from the trader regarding the vehicle details. The insurance wouldn't pay out if you had not physically seen and checked the docs yourself.

natnhay

Have spoken to the dealer and i will not be completing the purchase until the 1st of October,so everything should be cleared.Many thanks for your replies.