Purchased a car (private) not knowing it had outstanding finance

OlliesDad

Taken from the Zuto Finance website "Personal loans – regularly referred to as car loans – are not secured on the vehicle you buy, meaning you own the vehicle from the start. You borrow the money from a finance provider and use it to buy the car. You then pay the finance provider back over an agreed period."

So the car does not have any debt secured against it so you have nothing to worry about.

javier127

peachyprice wrote: »

There's a difference between a personal loan which you then use to buy a car and finance secured against a car. If your seller has a personal loan that is not secured against the car it's none of your business whether he has paid it off or not.

I spoke with zuto finance(broker) today , they did tell me the name of the creditor , then they put me on hold , checking the registration number of the car , they came back saying we cannot provide you any details , i asked again for the name of the creditor so i could write it down on paper , they said sorry we can't help you .

I said is it because of confidentiality , they said yes .

OlliesDad

javier127 wrote: »

I spoke with zuto finance(broker) today , they did tell me the name of the creditor , then they put me on hold , checking the registration number of the car , they came back saying we cannot provide you any details , i asked again for the name of the creditor so i could write it down on paper , they said sorry we can't help you .

I said is it because of confidentiality , they said yes .

I'm pleased to hear they didn't give you any details, in the same way that if I called your bank then you would hope they wouldn't divulge any details about your bank account to me.

javier127

bris wrote: »

Seriously, you knew you it had outstanding finance and you bought it anyway? Good luck with this one, you really don't have much defence now.


Or does the green tick mean it's clear?

Yes the green tick means clear , a cross means not clear .

javier127

OlliesDad wrote: »

Taken from the Zuto Finance website "Personal loans – regularly referred to as car loans – are not secured on the vehicle you buy, meaning you own the vehicle from the start. You borrow the money from a finance provider and use it to buy the car. You then pay the finance provider back over an agreed period."

So the car does not have any debt secured against it so you have nothing to worry about.

When i looked at the documentation for the car , the seller bought the car back in august 2017 from a car dealer , on the sales invoice it shows a run down of the cost....deposit , part exchange and balance received , to the right of balance received it says in brackets (zuto finance) written in black ink .

It looks like i will have to get my solicitor to request that information from zuto as i need to know if the finance is clear on the car ? , at this stage i don't know if it was finance or a loan , for confidentiality reasons zuto won't tell me .

wesleyad

Almost certainly a personal loan, just happens that they pay directly to the dealer. If not then won't you be covered by the experian guarantee anyway?

javier127

wesleyad wrote: »

Almost certainly a personal loan, just happens that they pay directly to the dealer. If not then won't you be covered by the experian guarantee anyway?

Under the terms & conditions for experian guarantee , if the purchase was done by cash , you are covered upto £1000 .

javier127

I managed to get an appointment today at 4pm with my solicitor , in my view this is the only way i maybe able to obtain the information ?

I might be rushing this as it only has been 1 week , but the seller has told me twice during the first half of the week he would show proof car is paid in full , nothing has happened .

tykesi

What makes you think your solicitor will be able to get the details? They won't care who requests it, if it's covered by the Data Protection Act they're not going to tell anyone.

javier127

tykesi wrote: »

What makes you think your solicitor will be able to get the details? They won't care who requests it, if it's covered by the Data Protection Act they're not going to tell anyone.

My solicitor called me back as he was looking from the notes when i called earlier today (from the first call think it was reception i spoke to ?) ,

he said if you did a vehicle check then i should be ok , he also stated he can't obtain the information , if there was an issue from the vehicle check , then he said call me back and we can take it further .

So to date , i did a vehicle check with experian prior to purchase which came back clear for outstanding finance , but for peace of mind , today i also did an Hpi and RAC check , also came back clear........yes i'm going over the top with checks , it would seem when the seller bought the car from the dealer via zuto finance , it was probably a personal loan , if that is the case and the seller has told me it was a personal loan , then i have nothing to worry about , remember i only have his word on that .