Monkeh

Im sure this has been asked before, but the search did not find anything.

I am going to look at a car tomorrow for a friend, but it has HP still owing on it.
How does this work when you buy the car ?
the car is advertised for £6k but he still has £3k to pay.

Do we pay him 3k for the car and then transfer 3k to the finance company ?

I just wanna make sure he doesnt try and rip us off, as i have never bought a car with HP owing before.

cheers

Spoon

Monkeh- Yes, it'll be best if you saw documentation of the money owed and just write a cheque to the finance company direct, then deduct that figure from the purchase figure, giving the guy the balance.

If the finance company happens to be local then you could always go to their offices and clear it. You could even wire it for speed.

Just make sure the figure is correct and post the cheque yourself (witnessed by the seller if need be) but NEVER rely on the seller to do it.

Dracoro

Contact the finance company to be sure. How do you know that he owes £3k? Coz he told you? Could even be a scam, he could owe £5,500 on the car for all you really know. Best get proof, a genuine seller will have no problems supplying the relevant details.

So once you get proof of the settlement figure (which may be different to what he owes them) you can then write a cheque for the finance company for the settlement and then pay the chap the balance to make up to the £6k.

AndyC_772

iTrader: (2)

Depending on what the car is, the safest thing for you to do may simply be to walk away and find another one. If there's finance owing, then technically it belongs to the HP company and it's not the keeper's to sell.

Otherwise it's a trip for both of you to the bank to perform a couple of same-day transfers. Make sure you the seller has a redemption letter from the finance company, and ring them to confirm it's genuine and accurate.

Monkeh

cheers for the advice guys