Your car can be sold even if it is under finance!

Your car can be sold even if it is under finance!

One might encounter a situation where they would need to sell their car that just so happens to be financed. In 2013, in the UK about three-quarter cars sold were bought using a financing arrangement. Some might have reservations about selling their financed car, but it is very much possible to sell a finance car. Even though the sale of a car is considered a private affair, but the process is a bit trivial if it has finance attached to it. Although many contracts do not allow someone to sell their financed car one can make it possible by paying the balance.

There are many options to have the finance on your bought car cleared so you can sell it. One of them is clearing your finances through a personal loan. You always have the option to pay the whole balance to your financer or bank by taking another personal loan. Later, you can pay the loan amount after selling the car. It is important that you get a written proof from your finance company that you have cleared the finances with interest value. The second option is to look forward to selling your car to companies who buy financed vehicles. This option must be pursued if you cannot raise money for paying the finances and interest. It is a feasible option, but you might not get the expected amount as you can get from a private sale.

If the above mentioned do not suit your budget or requirements, then you have the option to exchange it for another vehicle at a dealership. Moreover, this option is best if you want to trade for a new car or vehicle. However, it is necessary that you carefully sign the contract that dictates the terms and agreement to make sure that there are no hidden interest rates.

Other more obscure options for selling your financed car include auctioning it or selling through online websites. However, these options are only viable if you have cleared the finance prior the selling. It is also possible that you can reach a settlement with your financer to pay the outstanding finance. This settlement will inform your financer of the selling, and you would be required to pay the loan to the full amount.

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