Buying a car with finance outstanding

M

merid

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I am interested in purchasing a car privately.
But when I checked the car on one of those car checking finance sites it says that there is an outstanding HP finance due on the car.
How best should I proceed in this situation?
What kind of proof should I look for that all outstanding payments on the car have been cleared?
Thanks
 
merid said:
I am interested in purchasing a car privately.
But when I checked the car on one of those car checking finance sites it says that there is an outstanding HP finance due on the car.
How best should I proceed in this situation?
What kind of proof should I look for that all outstanding payments on the car have been cleared?
Thanks
Click to expand...
You did well to run a finance check. But now you must forget it. run a mile from this car. If you buy, the HP company can still take back the car to fulfil their contract with the origanal "seller"
 
Most newish cars will have finance

There has to be a reasonable way around this?

I would guess the best is to get the seller to get some sort of way to clear the finance, once you can see that then ok.
Or else get a figure from the finance to clear yourself and give the difference to the seller on an agreed price.

Otherwise walk away.
 
Ask the seller. Maybe they plan to clear the outstanding finance once the car is sold. You could get the seller to ring the finance company and get something in writing re the car being sold.

A bit of extra hassle so guess it depends how badly you want that specific car. If not 100% happy, walk away.
 
Ask the vendor what their plans are, and don't close the deal until the finance check comes back clear. You need to be aware, the finance remains attached to the car until paid off. If you buy the car before it is cleared, they can still repossess the car and you'd be unlikely to ever recover anything from the vendor.
 
OP here - just to follow-up on the purchase. The car had outstanding finance with ptsb who I also bank with. Both seller and I just went into the bank together and I just paid off outstanding loan on the car and got a receipt to say car loan was cleared. It was very straightforward.
 
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