How to sell car

MONEYSAVER_3

Hi

I have a car that is on a loan with blackhorse. I would like to get rid of it

my question what do i need to do

If I want to sell privately would i need to pay the loan before selling to get the punters. I really need to sell it and also it has negative shortfall on the loan of about 6k.

Please advise on possible solutions, I will be looking at buying a smaller car, but then again this car maybe worth more than the one I am buying from say a showroom/

Thanks

standupguy

If it is a loan then the Finance Company has no interest in the car and you can sell the car and then decide what to do with the proceeds.

Bear in mind if you give the proceeds to the Finance company and are 6k short then the money will just be treated as an advance payment and you will get no benefit.

If the car is on Hire Purchase then that is a different matter and you have a couple of options

MONEYSAVER_3

If its on a hire purchase - i need to check docs

what are the option please

standupguy

You believe you have a negative equity of £6k? - This is the difference between what you think you owe and what the car is worth.

Did you get a settlement figure from Blackhorse?

If the car is on a Hire Purchase agreenent then you have an option to voluntary terminate the agreement and return the car to Blackhorse.

You can do this at anytime but your outstanding liability will be to half the Hire Purchase price - this figure is shown on the agreement.

So, add up your deposit and all of the payments you have made and compare this total to the "half hire purchase price" figure.

If you have paid more then you can return the car with no further liability subject to fair wear and tear on the car and repayments up to date.

If you are short then your outstanding liability will be the difference between the two figures.