Selling a car on PCP

daniel94g

I want to sell my car which is currently financed on a PCP. My settlement figure is just over 10k, and the particular make/model is selling for just under that on Autotrader. (I'm not bothered about making any money from selling it)

I know I cannot sell the car before settling the finance as I don't technically own it, but I don't have the 10k to spare in order to settle the finance before I sell it.

If I listed it for sale online now, and a buyer then gave me the money for it - would I be able to settle the finance over the phone (with the money the buyer gives me) on the same day as selling the car to them? (before they drive off in it ideally)

Thanks in advance

motorguy

daniel94g wrote: »

I want to sell my car which is currently financed on a PCP. My settlement figure is just over 10k, and the particular make/model is selling for just under that on Autotrader. (I'm not bothered about making any money from selling it)

I know I cannot sell the car before settling the finance as I don't technically own it, but I don't have the 10k to spare in order to settle the finance before I sell it.

If I listed it for sale online now, and a buyer then gave me the money for it - would I be able to settle the finance over the phone (with the money the buyer gives me) on the same day as selling the car to them? (before they drive off in it ideally)

Thanks in advance

I doubt any buyer will hand you £10K on the hope you then clear the finance.

Easiest way is to have the buyer pay the finance company directly with you adding any shortfall.

They will then be able to get an email / letter from the finance company saying that they have no further interest in the car.

daniel94g

Thanks for your reply!

I kinda meant I would settle the finance before they left so they knew it was done, but I see your point there!

Is it as easy as me phoning them up and saying I have a buyer here who wishes to settle on my behalf then ?

motorguy

daniel94g wrote: »

Thanks for your reply!

I kinda meant I would settle the finance before they left so they knew it was done, but I see your point there!

Is it as easy as me phoning them up and saying I have a buyer here who wishes to settle on my behalf then ?

Yes, it should be. I'd phone in advance and confirm but the buyer should be able to do it over the phone by direct debit or do a bank transfer.

I

Shaka_Zulu

This is just hassle for any buyer so be prepared for hard haggling from any prospective buyers. You may not like what they offer you.

neilmcl

daniel94g wrote: »

Thanks for your reply!

I kinda meant I would settle the finance before they left so they knew it was done, but I see your point there!

Is it as easy as me phoning them up and saying I have a buyer here who wishes to settle on my behalf then ?

The fact you have it on finance would put most, if not all, private buyers off. You'd be better off selling it back to a dealership or somewhere like webuyanycar, although you will take a hit.

motorguy

Shaka_Zulu wrote: »

This is just hassle for any buyer so be prepared for hard haggling from any prospective buyers. You may not like what they offer you.

Why would the car be worth any less because its on finance? Whats the difference between paying the finance company and paying the seller?

If its the right car at the right price it will sell, irrespective of an extra phone call to clear the finance.

motorguy

neilmcl wrote: »

The fact you have it on finance would put most, if not all, private buyers off. You'd be better off selling it back to a dealership or somewhere like webuyanycar, although you will take a hit.

It shouldnt and it wont. I've sold a car on finance before with no issues. It just needs to be pitched as an easy thing for the buyer to do - which it is.

The real issue here is the price of the car as most buyers at this price point will want the whole dealer experience - trade in, finance, etc.

"being better off" by selling it to WBAC could cost the O/P £,£££s.

I'd be having a crack at selling it privately first.

neilmcl

motorguy wrote: »

It shouldnt and it wont. I've sold a car on finance before with no issues. It just needs to be pitched as an easy thing for the buyer to do - which it is.

The real issue here is the price of the car as most buyers at this price point will want the whole dealer experience - trade in, finance, etc.

"being better off" by selling it to WBAC could cost the O/P £,£££s.

I'd be having a crack at selling it privately first.

I'm sorry but unless you're selling something desirable most potential buyers will be putting the phone down before you have the chance to "pitch" how easy it is to deal with the finance. As soon as you mention finance I'd bet 9 out of 10 private buyers would walk away. You're quite correct they shouldn't, but in reality they would.

neilmcl

motorguy wrote: »

Why would the car be worth any less because its on finance? Whats the difference between paying the finance company and paying the seller?

If its the right car at the right price it will sell, irrespective of an extra phone call to clear the finance.

This is the key though, isn't it. If you have an average, run of the mill motor and expecting a good private sale price you wont get a lot of interest when it has finance attached to it.

motorguy

neilmcl wrote: »

I'm sorry but unless you're selling something desirable most potential buyers will be putting the phone down before you have the chance to "pitch" how easy it is to deal with the finance. As soon as you mention finance I'd bet 9 out of 10 private buyers would walk away. You're quite correct they shouldn't, but in reality they would.

Not what i've found. "I've a settlement figure here for the finance, so its just a matter of you paying them directly - they're expecting a call from whoever buys it".

Simples.

Some people may be put off, but (a) not as many as you'd think and (b) they'd then be missing a decent car.