selling a car on finance

strawberrylane

im moving away but still have another 4 years of payments to make on my car. my dad is guarantor on the loan, but i cant afford the rent and car.
is there any way of selling the car?

colm_mcm

If there's 4 years finance of the original price of the car, then you're likely to be in negative equity
i.e you owe way more than the car's worth.

Have you got a settlement figure, and what make/model/year is it?

you can only sell once the finance has been paid off in full.

strawberrylane

its a 08 nissan primera tspec. what if someone else was to take over the payments does that work at all?

Drummerboy08

A 08 Primera?

Saleproof.

strawberrylane

Drummerboy08 wrote: »

A 08 Primera?

Saleproof.

Saleproof??

R.O.R

strawberrylane wrote: »

its a 08 nissan primera tspec.

I just shuddered like someone had walked over my grave.

Folks, remember, an 08 Primera isn't just for Christmas, It's for Life.

colm_mcm

I'm assuming you didnt buy the car new?


you can't get someone to take over the payments (maybe your dad, but not someone else)

do you remember how much you paid for the car. what time of year you bought it, and what do you pay per month?

strawberrylane

haha if only i knew that!! i guess i wont be moving anywhere then

strawberrylane

well this is a pickle!

Drummerboy08

R.O.R wrote: »

I just shuddered like someone had walked over my grave.

Folks, remember, an 08 Primera isn't just for Christmas, It's for Life.

I'd call it a wedding ring.

OP, call your finance company and ask for a settlement figure. I'd imagine you will have to take a huge hit to sell it, as nobody will want to take over your payments. Too much risk involved.

strawberrylane

to be honest if i could just get rid of the car and not have anymore payments that'd be ideal but guess i'l have to see what happens if anything. you think your settled in life then you're not!!

strawberrylane

last april for 19000 and it works out as 300 pm. but there was a trade in and deposit left on it too.

Drummerboy08

The problem is this.

You obviously only got it last year, on a 5 year Hire Purchase deal.

Now, at the time you took out finance of say, 20k, so with interest your looking at around 22/23k.

A year later, that car is worth possibly 10/12k, but the amount of finance you still owe is around 7/8k at a minimum. These are only figures to give you an idea of what I'm talking about by the way.

This means you would have to stump up around 8k to get the finance cleared.

You legally cant sell the car if it has outstanding finance on it, as it is not yours to sell.

strawberrylane

Ok cool i guess the move abroad will have to wait thanks for all the advice though its brought me back to reality. i definitely think thats a life lesson right there!! haha

chris85

yeah a life lesson alright. The finance deals are convenient but not to be taken lightly. Also OP i would discuss this with your dad as if you default they may just go straight to him to clear the loan so he needs to know whats happening.