Selling a car with finance on?

[JPC]

Hi guys, bit of a noob question, how do I go about selling my car with finance on it?

I will obviously be paying off the finance with the cash from the sale but how do I go about it?

Do I take a cheque for the sale price of the car, wait for it to clear then pay off the finance? What happens when a potential customer sees there is still finance owed on the hpi?

I assume this goes on all the time right?

[182_blue]

Basically the car is not yours to sell, so you cant sell it with finance still owing on it, the best thing to do is to get the buyer to settle the finance, as a buyer though this sort of hassle would put me off

I am assuming the car was bought on HP, and its not a personal loan

[JPC]

Awesome! Not! Right so really I need to take two cheques from a buyer, if they're willing. Wait for lombard to give the green light then the car can go?

[joesgti]

or just trade it in and get the garage to pay off the finance?

[JPC]

or just trade it in and get the garage to pay off the finance?

I'd be missing out on about 2.5k if I did that!

[Richn83]

you might have difficulties with a buyer being happy to do that, can you get temporary access to some money 0% credit card, personal loan etc to pay off the finance prior to sale?  

[joesgti]

ok, i thought they offered you a good trade?

[182_blue]

Awesome! Not! Right so really I need to take two cheques from a buyer, if they're willing. Wait for lombard to give the green light then the car can go?

Ideally dont take a cheque imo (too dodgy, or too long a wait), personally in your position i would get the buyer to pay for the financed part over the phone with a debit card to Lombard on the day of purchase (again not ideal and not many people would do this), this way the buyer knows its all settled and you know its paid off, then take cash for anything over and above the settlement price (an instant bank transfer is another good option)

To help before the sale get a quote for the settlement figure from Lombard (written copy to show the buyer)

[JPC]

Thanks for the help guys ;)

[tony_danza]

I paid off the previous owners finance on the phone when I picked the car up, then gave him the rest in cash - I didn't see it as an issue, but then I trusted the guy.

I can see your dilemma though, can someone front you some cash for a week or so?

[MAT ED30]

have u sold the car or are you about to put it up for sale?

[JPC]

No not even put it up for sale yet but I will be doing soon

[Greeners]

Jay, could you not get someone to lend you the money, pay the finance off then repay the loan once the car is sold? This will make the sale a bit easier IMO. 

[JPC]

None of my family have ever had any money! Haha!

[cal tdi]

Soooo you'll be parting with a few tasty parts??? Or selling it as it is?