Selling a car with outstanding finance.

[TheFungle]

I know, can't afford to buy the car, should have paid cash etc etc

My wife is soon to start a new job which will have a company car, there will be quite a bit of travelling so keeping the 500 won't be an option.

Is it possible to sell a car whilst still on finance? (being up front about it of course)

She is 18 months into a 36 month PCP so I guess she could just give the car back to Fiat but at the expense of missing out on any possible equity in the car.

It's a Fiat 500 which is in immaculate condition so it should certainly sell fairly easy...I hope!

[mrmr96]

i) Lease company won't allow it (I wouldn't have thought)
ii) Buyers (if they HPI) won't touch it.

You need to get the finance settled, hen sell it. Or have a very understanding buyer who trusts you to clear the finance as part of the sale process.

[Six Fiend]

I've bought a bike which had finance outstanding. Dealt with the finance company and paid them direct what was owed, balance to seller. All very simple in my case.

[POORCARDEALER]

get a settlement figure.

advertise the car, agree a price with buyer, tell him there is outstanding finance, get buyer to give you a bankers draft for amount owing payable to finance company and the rest to you...job done.

[va1o]

POORCARDEALER is correct, many people will approach it this way. mrmr96's post is misleading - it is allowed.

[TheFungle]

POORCARDEALER said:

get a settlement figure.

advertise the car, agree a price with buyer, tell him there is outstanding finance, get buyer to give you a bankers draft for amount owing payable to finance company and the rest to you...job done.

That's the answer I was looking for

Shall certainly stick it up in the classifieds and see what sort of attention it attracts.

[Pugland53]

I have done this a few times, buying and selling. Just ring up Fiat when the buyer picks up the car and get the buyer to pay off remaining finance with his debit card. Any outstanding money due to you is paid by cash. This way you both know the finance is cleared, simples.

[roystinho]

Forgive me if I'm wrong, but half way through a PCP can't you hand the car back? Can't remember the stipulation behind it, maybe you lose your deposit so can't sign up to a new car once it's up

[Deva Link]

roystinho said:

Forgive me if I'm wrong, but half way through a PCP can't you hand the car back? Can't remember the stipulation behind it, maybe you lose your deposit so can't sign up to a new car once it's up

It's half the amount of the original agreement, not half the time. PCP's are usually constructed so you don't get to the halfway point in money terms until very near the end of the term.

[va1o]

Would depend on the car really, if the residuals aren't very good you'd probably have paid back 50% before the agreement ends.

[KardioKate]

Will you not have a balloon payment to factor in?

[amokwa]

KardioKate said:

Will you not have a balloon payment to factor in?

It's factored into the settlement figure.