What happens if I buy a car off a Dealer & find out a Finance Agreement on it ?

Sarinee

I'm looking for another car and I'm curious as to what would happen if this was the case. Can anyone advise please ?

marlot

An advantage of buying from a dealer is that it is his responsibility to give you clean title. The dealer will typically HPI anything he's buying in, so making sure it is OK. And if it turns out not to be, fixing it is his problem, not yours.

flashg67

Best case is the dealer agrees to clear the finance or take the car back and refund you. Worst case is a court case, as happened to a friend of mine who was stung this way, even to the point of the dealer providing a fake HPI report

Sarinee

I was wondering as when I've looked on the AA site where you can check out the car history in some cases it shows as a finance agreement still running.

motorguy

Sarinee wrote: »

I was wondering as when I've looked on the AA site where you can check out the car history in some cases it shows as a finance agreement still running.

Updates to the HPI database arent instant when someone clears their finance through trading the car in.

arcon5

If your unaware of the finance, are a consumer buying from a dealer then you would be protected from it being repossessed by the finance company as an 'innocent buyer'

shaun_from_Africa

If your unaware of the finance, are a consumer buying from a dealer then you would be protected from it being repossessed by the finance company as an 'innocent buyer'

For that protection to apply, you don't even need to be purchasing from a dealer.
Provided that you were unaware of the outstanding finance (the finance must be from a hire purchase agreement and not a lease contract) and you bought the car in good faith from a dealer or a private seller then irrespective of the sellers finance agreement, you get legal ownership of the vehicle.