Reply to: Selling 'expensive' car privately

[LondonManc]

Which sensible buyers would not do, they would want to buy the car off the person with full title to it. Too many con merchants out there selling cars with finance on them.

Sensible and gullible aren't necessarily mutually exhaustive.

[ZARDOZ]

If you intend to clear the loan and there's sufficient equity in the vehicle, why not discuss that with the finance company. Ask them for a settlement figure; they'll send you one by post. You can then ask the buyer to split the payments between the finance company and your own account accordingly.

Which sensible buyers would not do, they would want to buy the car off the person with full title to it. Too many con merchants out there selling cars with finance on them.

[clearedforlanding]

If you intend to clear the loan and there's sufficient equity in the vehicle, why not discuss that with the finance company. Ask them for a settlement figure; they'll send you one by post. You can then ask the buyer to split the payments between the finance company and your own account accordingly.

+1

Do not accept their finance company's first offer however. They will negotiate because they don't want the inventory cost.

[LondonManc]

If you intend to clear the loan and there's sufficient equity in the vehicle, why not discuss that with the finance company. Ask them for a settlement figure; they'll send you one by post. You can then ask the buyer to split the payments between the finance company and your own account accordingly.

[original PM]

Yep, first question I would ask, and if finance outstanding would walk away as stricky speaking it's not theirs to sell. OP should clear the finance first not expect a puchaser to do it. Usually the ones who do this want the money paid to them first, yeah right!

Selling private used to be fairly straightforward but since cheap money/loans most punters would rather overpay at a dealers who scoop up same once private sale cars at super low prices via webuyanycar and such. This is one of the reasons I only lease expensive cars.

Indeed that would be my view - you do not own the car so you cannot sell it legitimately.

What you possibly need to do is get a loan (not secured on the car) clear off the finance on the car and then when you sell the car pay off the loan.

Unless it is a pretty niche car then the chances are there will be other cars of similar quality and price without the finance hassle that most buyers will go for - and that is why you will get those having a punt at a lower price.

Put yourself in the buyers shoes and see what you think???

Would be interesting to know how this turns out!

[ZARDOZ]

Finance aspect would put a lot of private buyers off.

You'd get calls from traders and chancers offering 1/2 market value for quick sale, willing to take on the hassle.

Yep, first question I would ask, and if finance outstanding would walk away as stricky speaking it's not theirs to sell. OP should clear the finance first not expect a puchaser to do it. Usually the ones who do this want the money paid to them first, yeah right!

Selling private used to be fairly straightforward but since cheap money/loans most punters would rather overpay at a dealers who scoop up same once private sale cars at super low prices via webuyanycar and such. This is one of the reasons I only lease expensive cars.

[PurpleGorilla]

Selling 'expensive' car privately

Be sure to take only two or three fuzzy photos, and none of the interior.

http://www.autotrader.co.uk/classifi...01602010619525

[darmstadt]

BTW if it's a half-way interesting car have a look for an owners club forum. I've sold my last two cars that way and there's a greater chance of getting someone who's a bit of an enthusiast rather than a never ending stream of traders or con merchants asking "what's the lowest you'll accept" that you'll get from Autotrader.

As VM said, if its decent car, an owners club website would be a good bet or the Pistonheads classifieds

[seanraaron]

This site has some advice that might be useful:

https://www.moneyadviceservice.org.u...lling-your-car

I don't get the sense that having the outstanding finance will make this easy to do, but in my quick search advice seems to be what I was saying: get another loan to pay it off, then pay that with proceeds. Alternatively call loan company with buyer present and have them pay balance with a debit card on the spot (not sure if this is feasible depending on the balance).

[DimPrawn]

BTW if it's a half-way interesting car have a look for an owners club forum. I've sold my last two cars that way and there's a greater chance of getting someone who's a bit of an enthusiast rather than a never ending stream of traders or con merchants asking "what's the lowest you'll accept" that you'll get from Autotrader.

---> UKpassats - Welcome to U.K. Passats

[VectraMan]

BTW if it's a half-way interesting car have a look for an owners club forum. I've sold my last two cars that way and there's a greater chance of getting someone who's a bit of an enthusiast rather than a never ending stream of traders or con merchants asking "what's the lowest you'll accept" that you'll get from Autotrader.

[meanttobeworking]

Really appreciate all the advice - thanks.

Regarding the finance settlement problem, I was considering using a service like this:

Escrow Custodian Services

(even though they still use ASP I just noticed!).

Edit: Not the best example, that link, but you get the gist, and there are other services around

[vetran]

I sold one last year for £3K, and that was scary enough. Still a lot of people that want to pay cash, as he did. It takes long enough counting out £3K, let alone £30K, and walking to the bank with it was a bit of a worry.

I did arrange to see a car that was for sale privately, but when I did the check it said outstanding finance so I walked away. In theory what you're meant to do if you buy a car with outstanding finance is pay the finance company direct, wait for a confirmation that it's settled, and then pay the seller the remainder and collect the car hoping he hasn't done a runner with the car now his finance has been paid off by some sucker. Pay all the money to the seller and there's a possibility the finance company comes calling wanting their car back.

would have thought that they would accept the full selling price and turn the car over to you (say at a local dealership) then paid the seller the remainder whilst charging a small handling fee. only sensible way to do it.

obviously not.

[Hobosapien]

I've tried selling two cars worth over £20k privately, a TVR and a Lotus, so generally an audience that knows what they want and are getting into.

Still ended up with a few tyre kickers and phone calls from traders trying it on with a low-ish offer.

Sold both to a dealer specialising in the marque in the end (for not much more than the trade calls were offering), as they were second cars so not wanting to trade them in for something else and got tired of the hassle.

It's a while ago but I think if a private buyer had wanted it then I'd have wanted two bankers drafts. One for the balance of the finance, so made out to the finance company to prove I was paying it off, and one for myself for the remainder.

Though only the Lotus had finance tied to it as I bought it brand new. Usually get finance (if any) personally so can do what I like with the car without the hassle of settling it.

I'm sure there are professional guides out there (on Autotrader?) on how best to conduct private sales when large amounts or finance needs settling are involved, but as you're here you can read my drivel.

[VectraMan]

I sold one last year for £3K, and that was scary enough. Still a lot of people that want to pay cash, as he did. It takes long enough counting out £3K, let alone £30K, and walking to the bank with it was a bit of a worry.

I did arrange to see a car that was for sale privately, but when I did the check it said outstanding finance so I walked away. In theory what you're meant to do if you buy a car with outstanding finance is pay the finance company direct, wait for a confirmation that it's settled, and then pay the seller the remainder and collect the car hoping he hasn't done a runner with the car now his finance has been paid off by some sucker. Pay all the money to the seller and there's a possibility the finance company comes calling wanting their car back.