Can I sell my car back to the dealership if I still owe?

Can you sell a car if you still owe money on it? Yes, it is possible. For example, if you have paid out exactly 50% of the car's value, you can return it to the dealer or exchange it for another model. It is a crime to intentionally sell a vehicle you have not paid off yet to a new owner.

Is it illegal for a car dealership to sell a car with outstanding finance?

Can a car be sold with outstanding finance? Unless in very specific circumstances, no; it's illegal to sell a car that is being financed, without the owner's permission. As the person making the finance payments doesn't own the car, this means it's up to the finance company as to whether or not the car can be sold.

Can I sell my car back to the finance company?

You can return it, but you'll probably have to pay back any remaining money you owe on the contract, so if you still have a year left, then the lender will expect a year's worth of fees up front. In this instance, it's better to contact the finance company and see what else you can arrange.

Will car dealers pay off finance?

Can a car dealer settle my finance? Yes, a car dealer can settle your finance. If you want to trade in your current car for a new one, the car dealer can use the difference between the settlement figure and the cost of the new car as a deposit.

Should I sell my car to clear debt?

If you have assets that you're willing to sell, such as a car, watch or other valuable items, you could consider selling them to release the money and use it to help you while you're struggling.

💰How To Sell A Car With A Loan On It

Who owns the car if its on finance?

If you are still paying for finance on your car, then you're the registered keeper. The owner is the finance company until you've fully paid the balance on the contract. Basically, if a car is on finance, you can't be the owner – it's only when your contract has ended that you get full ownership.

Can I get a new car with outstanding finance?

If you want to change your car but still have outstanding finance payments to settle, you'll need to end your contract early and take out another one on your new car. But when you can do this and how much it'll cost you depends on the type of car finance contract you're looking to settle.

Who can settle my car finance?

If you want to settle your car finance early and take ownership of the car, your finance provider will provide you with a settlement figure that includes the remaining payments and any extra charges.

Can I swap my financed car for a cheaper one?

Can I swap my financed car for a cheaper one? You can't switch your financed car for a cheaper one if you are still paying off your current finance agreement. If you can't afford the monthly payments, you can return the vehicle to the lender and end your finance agreement early.

What happens if I get a car on finance and lose my job?

Circumstances can change after signing a PCP or HP agreement, such as losing your job or falling ill, meaning that you are no longer able to meet your monthly repayments. As such, you may want to cancel your car finance and simply hand your car back to the finance company.

What are my rights with a car on finance?

The Consumer Rights Act 2015 ensures that any car you finance is as described, of satisfactory quality, and fit for purpose. You can file a claim if the vehicle doesn't meet these conditions. Keep in mind that used cars do have signs of wear and tear.

Can I have 2 car finance agreements?

There's no limit to how many cars you can have on finance at one time. The number of finance agreements that you can be approved for would depend on your individual circumstances, credit history, and affordability. It isn't unheard of for people to have two or three car finance agreements in their name.

What is voluntary termination on car finance?

Voluntary termination is your legal right as a customer to cancel or end your car finance agreement early, provided you meet the necessary criteria. You would need to return the vehicle and are liable for half of the total amount payable (plus any arrears or charges, if applicable).

Can I downgrade my car on finance?

Yes, even if you have outstanding finance on your car, you may be able to get a new one before your agreement ends. You can end your existing agreement by paying the settlement figure.

How do I clear my car finance outstanding?

Pay the settlement figure

You can end your existing agreement by paying the settlement figure. You can usually find your settlement figure on your finance agreement or you can contact the lender directly to find out how much it'll cost to settle your loan in full.

How do I trade in a car with outstanding finance?

Who actually owns your car?

A car's owner and registered keeper are often assumed to be the same thing, because they are usually the same person, but in fact they can be different people. The owner is the person who bought the car or the person who has been gifted the vehicle. The registered keeper is the main user of the car.

What 3 actions can happen at the end of a finance lease agreement?

WHAT HAPPENS AT THE END OF THE AGREEMENT? At the end of the finance lease period, you will usually be given the option to extend the lease beyond the primary period or to return the asset. If an extension on the finance lease is not required, the asset will normally be returned to be sold on.

Can you tell if a car is on finance?

You can find out whether a car has outstanding finance by requesting a report from an online car check service.

Can a finance company refuse a voluntary surrender?

Voluntary termination: things to consider

You'll only be able to enact voluntary termination if the car is returned in good condition with no excessive damage. If you've missed any repayments during the term of your agreement, your finance company can refuse your right to enact voluntary termination.

Can a finance company refuse voluntary termination?

One of the key things you'll need to bear in mind is the condition of your car upon its return. A lender may reject your request for a voluntary termination if the car condition is damaged beyond standard wear and tear compared to when the agreement was first signed.

Can I return my car to the dealership?

If you have had the car for more than 30 days but less than six months, you have to give the selling dealer one attempt to fix the fault before moving to reject the vehicle. If the repair has not fixed the fault, you can reject the vehicle. If you part-exchanged your old car on the new one, you will not get it back.

Can I return a faulty car to the dealership?

You have a right to reject something faulty and you're entitled to a full refund within 30 days of purchase in most cases.

Is it illegal to sell a car with outstanding finance UK?

Is it illegal to sell a car with outstanding finance? Yes. You are not the legal owner of the vehicle until it is fully paid off. You are not legally allowed to sell it without settling any outstanding finance first.

Do car finance companies check your bank account?

Do car dealerships check bank accounts? If you're applying for car finance through a dealership, they may ask for a bank statement to verify your income. This is more than likely not for the dealer but for the lender who'll provide your loan.