Bought vehicle with outstanding finance.

1986mike

Hi I hope this is the right place to post but I cant find the same topic somewhere else.

I bought a car 2 and a half years ago (my first car) it is a bmw 3 series (2005). Anyway I am trying to sell the car now and a few buyers have told me it is on HPI for finance. I have paid for a check and it seems they are correct it says it has outstanding finance from bmw.

Now the car is very old (2005), in my entire time of ownership i havent received anything from any finance company or anything asking me for payments. The car is worth less than £2000 now and it would suck if I cant sell it but I can easily break it and sell the parts. I doubt it would be worth the finance company to pursue it, would probably cost them more than they get from the value of the car. I also would of thought that outstanding finance gets wiped after a certain amount of years?

I know I should of done a HPI check before, but it was my first car and wasnt that savvy yet. Either way I purchased the vehicle in good faith that guy who sold it to me owned it.

What should I do ? Is it worth contacting BMW finance department and asking them if they have no financial interest in the vehicle to remove it from their data, or is that not really a thing that happens.

AdrianC

Yes, all you can do is contact the financier and explain the situation to them.

forgotmyname

I know someone that went bankrupt and kept the car, thought it strange the finance company could do nothing to recover it but thats what happened.

They did not remove the finance marker though, so they had issues trying to trade it in.

interstellaflyer

OP, I don't think breaking the car is a good idea, I may be wrong but surely that could potentially leave you open to criminal charges, as things stand the vehicle doesn't officially belong to you whilst there is outstanding finance on it.

a.turner

interstellaflyer wrote: »

OP, I don't think breaking the car is a good idea, I may be wrong but surely that could potentially leave you open to criminal charges, as things stand the vehicle doesn't officially belong to you whilst there is outstanding finance on it.

He has good title so it's his vehicle to do as he wishes.

missile

Hopefully, you may find the marker is an error and finance has been cleared.

oddjobbpb

Oh god not again....

Can the admins put a sticky about this problem which seems to come up every couple of weeks?

OP....

You will get good title to the car

Google 'car hp innocent purchaser'

And admin....STICKY PLEASE!!!!

Mercdriver

oddjobbpb wrote: »

Oh god not again....

Can the admins put a sticky about this problem which seems to come up every couple of weeks?

OP....

You will get good title to the car

Google 'car hp innocent purchaser'

And admin....STICKY PLEASE!!!!

I'd stop calling for a sticky on this one if I were you, or did you not actually read the OP? You aren't really grasping it. The only issue that comes up regularly where someone does a HPI check and it is showing a marker because the dealer has his stock on finance. That is a very different scenario to this one, and this one should definitely not go into a sticky thread.

oddjobbpb

@ mercdriver

i appreciate that the stocking loan question does come up and that this is not that scenario,

However i did realise that this is different and my comment stands - if you google as suggested you'll find that the op WILL get title to the car.

I know it's counter intuitive - you would think that since the HP co actually own it and the seller does not have title then title cannot pass.

But it can, it does, and for 40 years or so it has.

Been there, done that!

shaun_from_Africa

oddjobbpb wrote: »

if you google as suggested you'll find that the op WILL get title to the car

And if you Google it, you'll find that the OP MIGHT get good title to the car and to state that they WILL is simply incorrect.

Providing that the finance was hire purchase and the OP paid around the market rate for the car and they had no knowledge or suspicion as to the outstanding finance then yes, they should get good title to it.

oddjobbpb

Indeed Shaun, although the OP does state that its HP....what he paid for the car re market value at the time I've no idea.

But as you quite rightly state, if it was HP, if he is a truly innocent private purchaser, and if he paid around market value for it, then he will (eventually) get clear title.

Been though this scenario half a dozen times when I was dealing cars....the finance companies don't always play by the book, trying to intimidate people into handing over a car etc., but if the above criteria apply and you both stand your ground and co operate while they investigate, title is obtained in the end.

what merc driver was referring to was a dealer stocking loan, I'm aware of that.

All good.