Help outstanding car finance

susieanne

Urgent advice required
So I have part ex my car for a diffent car. The car was on HP so the garage requested a settlement figure from my finance company and as far as I was aware my old car finance was paid off and the garage arranged a new HP finance agreement with a diffent finance company to finance my new car.

I have had my new car for over a month now but I've just received a letter from my old finance company saying that there is still an outstanding balance due on my old car of £350.
How can this happen? So basically I've sold a car unknownly which still has finance on it.
I have my new car loan to pay so I will struggle paying an additional £350 this month ontop of my new loan.
I know my old car hasn't sold yet as it's still being advertised on their website. 
I don't feel that this is my fault as I asked for a settlement figure and the garage paid off my settlement 
No idea what I should do any advice? 

Penguin_

Speak to the dealer, they will have the settlement document to evidence the spending of money from their account. Then ask them to check that they paid the settlement in full (as per the document), it could be as simple as a breakdown in communication when making the settlement transfer of funds.

born_again

Contact the garage you P/X the car to. Odd's on they were late making the settlement.

susieanne

Thanks for your reply. 
Would I be the one liable for the payment? Or the garage who has the car? 

Thrugelmir

Firstly you need to understand what the issue is. Only the dealer is going to clarify that. 

Penguin_

susieanne said:

Thanks for your reply. 
Would I be the one liable for the payment? Or the garage who has the car? 

As above you need to find out why the garage didn't settle it in full. This could be a mistake when typing the payment into the bank or it could be that your settlement figure was only valid for x days & they paid after the date it was valid until & thus more became payable.

Grumpy_chap

How much time elapsed from requesting the settlement figure and the settlement being processed?

Is £350 one monthly payment?  Did that fall due in the time gap?

iwb100

Grumpy_chap said:

How much time elapsed from requesting the settlement figure and the settlement being processed?

Is £350 one monthly payment?  Did that fall due in the time gap?

This. The only way this makes sense is either a mistake from the dealer or they’ve just taken the settlement and paid it off but the time lag between the settlement and paying it off included another payment that wasn’t made…having said that the amount paid should have covered the excess payment…in theory….