Car with "cleared" outstanding finance, being delivered in 2 hours time!

jam5t3r

Hi,

I'm taking delivery of a car at 3pm today and will need to hand over £20k to the dealer I'm buying form at the time of delivery.

The original HPI check I did showed 2 outstanding finance agreements on the car

1. Private finance with a leasing company
2. Unit stocking finance

The private finance was due to a person arranging to buy the car, taking out finance and then pulling out at the last minute. I've been told the finance has been cleared and I have called the finance company myself who have verbally confirmed they have no longer have an interest in the car. However the HPI report is still showing the outstanding finance and I have no written proof that this has been paid off.

Should I go ahead with the purchase even though I don't have any written proof of the cleared finance? I have paid for £100 of the value of the car on my credit card so I should be covered under section75.

The other thing is the unit stocking, the dealer has said they will clear this once they have received the funds from me. I know unit stocking finance is common with dealers but I'm not sure how it works, the guy I spoke to at the dealer said the finance is not on the car but the dealer but then why is the HPI showing it if it's not linked to the car? Is this normal to clear unit stocking finance after a car has been paid for and nothing to worry about or do i need to do/ensure anything to protect myself?

Hopefully someone will reply in the next 2 hours before the car turns up!

Thanks

waamo

You will have good title to the car so go ahead and buy it. Enjoy your purchase.

System

jam5t3r wrote: »

Is this normal to clear unit stocking finance after a car has been paid for and nothing to worry about

Yes. BMW Finance told me exactly that when i bought my current car and phoned them to query it after a HPI check.

shaun_from_Africa

waamo wrote: »

You will have good title to the car so go ahead and buy it. Enjoy your purchase.

If there is outstanding finance and the OP was aware of this before paying for the vehicle, they do not obtain good title as they are not classed as an innocent purchaser.
http://www.legislation.gov.uk/ukpga/1964/53/section/28

Presumptions relating to dealings with motor vehicles.
(1)Where in any proceedings (whether criminal or civil) relating to a motor vehicle it is proved—
(a)that the vehicle was bailed or (in Scotland) hired under a hire-purchase agreement, or was agreed to be sold under a conditional sale agreement and
(b)that a person (whether a party to the proceedings or not) became a private purchaser of the vehicle in good faith without notice of the hire-purchase or conditional sale agreement (the “relevent agreement”),this section shall have effect for the purposes of the operation of section 27 of this Act in relation to those proceedings.
(2)It shall be presumed for those purposes, unless the contrary is proved, that the disposition of the vehicle to the person referred to in subsection (1)(b) above (the “relevant purchaser”) was made by the debtor.

I wouldn't worry too much about the stock finance but I would want written confirmation that the other finance has been cleared before handing over £20k