Outstanding Car Finance - What do i do?

71silverfox

My father died in 2011, leaving everything in the estate to me.
I have a brother (somewhere) but they fell out a long time ago.

My father had a car that was originally my brothers, but my father was now the registered keeper - so I assumed that he had passed ownership to my father before they fell out.
I therefore transferred the vehicle to me, and now I am the registered keeper.
I have just come to sell the car, and have found out that there is outstanding finance on the vehicle. I expect that my brother had obviously stopped paying for any finance he may have had outstanding.
The car is only worth around £1000, and I fear that the outstanding finance may be more than this.
I have been unable to trace my brother, so want to know what my options are -
1) As inherited the car - do I have any legal rights to it?
2) Would I have to contact the finance company and hand over the car?
3) Would i be liable for any outstanding debt on the car?

Any help would be greatly appreciated

Thanks.

motorguy

71silverfox wrote: »

My father died in 2011, leaving everything in the estate to me.
I have a brother (somewhere) but they fell out a long time ago.

My father had a car that was originally my brothers, but my father was now the registered keeper - so I assumed that he had passed ownership to my father before they fell out.
I therefore transferred the vehicle to me, and now I am the registered keeper.
I have just come to sell the car, and have found out that there is outstanding finance on the vehicle. I expect that my brother had obviously stopped paying for any finance he may have had outstanding.
The car is only worth around £1000, and I fear that the outstanding finance may be more than this.
I have been unable to trace my brother, so want to know what my options are -
1) As inherited the car - do I have any legal rights to it?
2) Would I have to contact the finance company and hand over the car?
3) Would i be liable for any outstanding debt on the car?

Any help would be greatly appreciated

Thanks.

Is there definitely outstanding finance on it? It may well be that the HPI register wasnt updated?

I would phone the finance company and ask.

Actually you may well have rights here as you acquired the car in good faith.

I doubt they will tell you how much the amount is, but they will tell you if they have a financial interest in the car.

Ring them and see what they say.

If the finance is in your brothers name, then they couldnt pursue you for the money.

Prothet_of_Doom

You can't inherit a debt. The Executor (was that you?) should have checked for outstanding finance, and returned the car, or could have chosen to settle the debt, before distributing the remaining assets.

71silverfox

Prothet_of_Doom wrote: »

You can't inherit a debt. The Executor (was that you?) should have checked for outstanding finance, and returned the car, or could have chosen to settle the debt, before distributing the remaining assets.

I was the executor, and everything in the estate came to me - but there were no records of any outstanding debt on the car when I went through all my fathers things.

I'm not even sure who the finance could be with - I will try and get more details from the company that completed the HPI check to see if it is still outstanding

Thanks

arcon5

If finance is outstanding it's likely ownership lies with neither you, your dad or your brother - but the finance company. A debt may not pass down, but ownership wouldn't either if the vehicle has a loan secured to it.

poppasmurf_bewdley

If you were the Executor of your Father's will, did you put an advertisement into a national newspaper asking for anyone owed money by the estate to come forward?

If you did, and they didn't, then they cannot then claim the money. If you didn't, and they do, then they can.