What is the protocol on buying a bike with outstanding finance? I'm a cash buyer looking to buy from a private seller, but the bike still has money owed on the finance agreement. Clearly I could say clear the debt then I'll buy it. The seller probably isn't in that position (or he'd be keeping his bike). I could pay off the finance and then cash for the difference, but then why would the seller trust me to do that? Or vice versa. Your thoughts please.
It's not the sellers to sell. it belongs to the finance co. Experian - AutoCheck : Beware of vehicles with outstanding finance
One of our subcontractors had a van repossessed recently as he bought it while unaware of the outstanding finance on it. He is £5k out of pocket because he didn't think it necessary to do a hpi check...
I sold my Diavel last year with outstanding finance. The buyer came round, we sat down with a coffee, he rang the finance company and paid the loan off, he then gave me the balance via instant bank transfer. It took a couple of hours to sort out but it was done, a fairly tense moment but the buyer was a decent chap ( and so am I ) and clearly wanted my bike. If your seller isn't that approachable and makes it all difficult I would walk, its just too much agro. I was told that if the seller writes out a receipt and signs and declares there is outstanding finance which is his responsibility to clear you're OK. Not sure I would want to risk it !!
Hpi the bike to make sure you are calling the actual finance company not just his mate down the road. Armed with the correct number and account number from the hpi pay the finance whatever they require and pay the seller the difference if any.
I have sold a bike with outstanding finance and also bought one with outstanding finance. Process is very clear and straight forward. Nothing to worry about. When I sold my bike, I called Blackhorse in front of the buyer and paid off the amount (I had the funds) then gave the phone to the buyer and Blackhorse validated that the outstanding amount was paid. When I bought a bike with outstanding finance (again blackhorse) I asked the buyer to call blackhorse in front of me and get the settlement amount. Then the buyer informed blackhorse with my details and that I would call them to settle his finance. When I called blackhorse, I gave the reg number and was also informed for the outstanding amount and paid it with my debit card. I was also told that I will receive a letter saying that the bike is now free of finance (which i received after a week) Last but not least gave the remaining amount to the seller. No reason to worry but DO NOT give all the amount to the seller and let him settle it later. If he is a genuine seller he will agree to do the whole process with you.
If its dealer supplied, eg PCP, as above just sit down with buyer and do over phone with finance house
...and are they raping and beating grannies in their evening spare time...don't forget to ask that...
If you get to the stage where you are doing a deal. Fire me across the reg and I'll tell u who it's on chucky with and the account to see if it matches.
Sometimes is better to use finance for toys like bikes and cars and put your assets in investments. Of course it depends what is the cost of finanance and what kind of return you anticipate from your investments. If you have so much cash to put into engines and burn good for you
I thought bikes were investments, most of mine (all except the ducati) are going up in value at a rate far higher than interest rates
I always buy new toys and then see their value dropping like metor from the sky. I guess it can be diiferent if you invest in custom or collectible kind of bikes. If it is true what you are saying that bikes go up in value with age i have to go and buy some bikes ....
