Selling a car on PCP

motorguy

neilmcl wrote: »

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 [STRIKE]when it has finance attached to it.[/STRIKE]

Edited for accuracy.

Give people no other reason not to buy it, and paying the finance company becomes a mere formality.

Great car, great price = who do i pay?

Average car, high price = doesnt matter because it wont sell.

motorguy

The negativity bemuses me - this is Money Saving Expert.

The O/P can and should attempt to sell the car privately. It could be worth £,£££s extra over taking a trade price for it.

Positive thinking and a belief you're selling a good car at a good price is 95% of the solution here.

Adapting a "oh it'll never sell" approach means you're dooming yourself to failure from the off.

paddycharlie

But it is the reality. I wouldn't go near any private car sale where the seller has stipulations that I have to pay a finance company. And I would be confident that I would be in the majority.


Why would anyone bother when they can get the same thing for the same price from another private seller without the hassle? And if it is reduced to a price below all other private sellers it will look a bit dodgy when you add in the finance hassle.


By all means give it a try and you could get lucky but don't expect the pool of buyers to be anywhere near what you'd get selling it normally. And expect buyers to haggle if they see the finance company issue as a weakness.

System

motorguy wrote: »

Why would the car be worth any less because its on finance?

It isn't but I know if I'm going to look at a car on finance that nine times out of ten the seller is wanting rid of it because they can't afford it. That means there's a bit of desperation on their side because every month it doesn't sell is another few hundred quid they're paying out which they may not be able to afford in another repayment. That puts me instantly in a strong position especially if I'm stood there with a paper bag full of pound notes.

scaredofdebt

Personally I'd rather pay the finance company, less trouble having to go to a bank to draw cash out and then the hassle and risk of carrying it around. If the car is a good deal the "hassle" would be well worth it.

A two minute phone call is nothing to the hassle of finding a car, driving to see it, test drive etc etc etc.

AdrianC

It's worth less than the finance settlement.
The buyer will be handing ALL of the purchase price to the financier, then waiting for the OP to hand more over in order for it to be clear.

This might sound a stupid question - but why not just hand it back...?

motorguy

paddycharlie wrote: »

But it is the reality. I wouldn't go near any private car sale where the seller has stipulations that I have to pay a finance company. And I would be confident that I would be in the majority.


Why would anyone bother when they can get the same thing for the same price from another private seller without the hassle? And if it is reduced to a price below all other private sellers it will look a bit dodgy when you add in the finance hassle.


By all means give it a try and you could get lucky but don't expect the pool of buyers to be anywhere near what you'd get selling it normally. And expect buyers to haggle if they see the finance company issue as a weakness.

If you've the right car for sale at the right price and its exactly what the buyer wants, whats the difference between paying the finance company and paying the buyer? At some point theres going to be a leap of faith in bank transferring a large amount of cash to a complete stranger.

The odds of two otherwise identical cars being for sale at the same time in the same area are quite low for most cars.

I'd be wholly confident i could sell a car just as easily that is on finance than not and i certainly wouldnt be discounting it extra just because of that. Sorry you dont have that confidence.

motorguy

AdrianC wrote: »

It's worth less than the finance settlement.
The buyer will be handing ALL of the purchase price to the financier, then waiting for the OP to hand more over in order for it to be clear.

This might sound a stupid question - but why not just hand it back...?

I'm assuming he hasnt hit the 50% marker yet - but worth clarifying by the O/P

motorguy

scaredofdebt wrote: »

Personally I'd rather pay the finance company, less trouble having to go to a bank to draw cash out and then the hassle and risk of carrying it around. If the car is a good deal the "hassle" would be well worth it.

A two minute phone call is nothing to the hassle of finding a car, driving to see it, test drive etc etc etc.

+1

I wholly agree.