MegaSack DRAW - This year's winner is user - rgwb
We will be in touch
Was thinking of getting rid of my golf. Was wanting to sell privately and buy myself a van for carrying the bike around. But is still got finance on it so not sure what to do with it.
is the finance tied to the car? or is it a personal loan?
With the former - I think you'll need to pay it off, a personal loan is just that & it doesn't matter what you do
When I bought a car with BMW mini finance, I rang mini finance up and requested the settlement figure and paid minifinance direct. This worked as I know the guy. If its the car that owes the money- offer a potential buyer this route however potentially you might have totake a hit on the book price if its a private sale due to the pool of interested buyers who would still go ahead and do the deal.
If its finance on the car, I think you will find that legally the car belongs to the finance company and is not yours to sell until its been paid for in full. But their again I could be wrong... 😕
If it is on a HP (hire purchase) deal, did you know that you can hand it back as soon as you have paid 50% of the original purchase price without penalty (assuming the car is in good condition).
For example, £15k car with a £5k deposit, remaining £10k on finance. Once the balance on HP is £7,500 or less you can hand it back.
I did it once and 'saved' about £3k (the difference between what was outstanding and what the car was worth as a trade in).
Basically if you sell it privately, you could get the money (cash) from the buyer & they take you to the bank & witness you you paying off the outstanding finance over the counter. It's one way i've heard of, anyway.