Finance options post order

[66tim99]

If you can sell it for more than the balloon payment then you sell and pay the balloon payment and keep the difference, but I presume you would have to clear this with the Finance company if a private sale or use someone like WBAC who would pay on your behalf.
Personally I would be very careful/wary purchasing such a vehicle, but each to his own.

Thanks
You’d be wary of purchasing a vehicle that had been financed, but the finance was now cleared?

 

[Algor]

If you can sell it for more than the balloon payment then you sell and pay the balloon payment and keep the difference, but I presume you would have to clear this with the Finance company if a private sale or use someone like WBAC who would pay on your behalf.
Personally I would be very careful/wary purchasing such a vehicle, but each to his own.

Why would you need to clear it with the finance company? It is no different than part exchanging a car with outstanding finance, it happens all day every day and is nothing out of the normal. As for being wary of buying a vehicle that has ever being subject to finance then you would be seriously limiting your choices as the vast majority of new vehicles are sold with some aspect of finance.

 

[WelshGas]

Why would you need to clear it with the finance company? It is no different than part exchanging a car with outstanding finance, it happens all day every day and is nothing out of the normal. As for being wary of buying a vehicle that has ever being subject to finance then you would be seriously limiting your choices as the vast majority of new vehicles are sold with some aspect of finance.

You do as you wish. Any vehicle I have bought in the past the seller has had clear title to that vehicle.
I will not buy a vehicle from a private seller who does not have clear title. If the vehicle has a PCP contract then the seller does not have clear title until the finance company has been paid. If they are not prepared to pay to get clear title before selling and depend on me, as the buyer to supply those funds, then I would want a discount if I am taking the risk. So no. Clear title or no sale to me, I’m afraid.

 

[WelshGas]

Thanks
You’d be wary of purchasing a vehicle that had been financed, but the finance was now cleared?

Not a problem if the seller has obtained clear title to ownership by paying off the finance before offering the vehicle for sale.
But offering a vehicle for sale and planning on using my money to clear the Finance company interest in the said vehicle at the time of sale, not a risk I will take. You, and others can , but not me.

 

[Elmo3]

You do as you wish. Any vehicle I have bought in the past the seller has had clear title to that vehicle.
I will not buy a vehicle from a private seller who does not have clear title. If the vehicle has a PCP contract then the seller does not have clear title until the finance company has been paid. If they are not prepared to pay to get clear title before selling and depend on me, as the buyer to supply those funds, then I would want a discount if I am taking the risk. So no. Clear title or no sale to me, I’m afraid.

Very much this. The vendor could take your money and not clear the finance. One solution is to pay the finance company directly and any balance to the vendor but there’s still a risk and it’s a load of hassle.

 

[WelshGas]

Why would you need to clear it with the finance company? It is no different than part exchanging a car with outstanding finance, it happens all day every day and is nothing out of the normal. As for being wary of buying a vehicle that has ever being subject to finance then you would be seriously limiting your choices as the vast majority of new vehicles are sold with some aspect of finance.

Buying a vehicle from a reputable company, a vehicle bought by that company or taken in part exchange with outstanding finance, is much less of a risk than buying from a private seller, a vehicle with outstanding finance. The company will have cleared the finance and have clear title to the vehicle at point of sale.
Its not my job to provide the funds and check that the finance is paid off as a buyer, its the sellers responsibility.

 

[GrahamB]

Buying a vehicle from a reputable company, a vehicle bought by that company or taken in part exchange with outstanding finance, is much less of a risk than buying from a private seller, a vehicle with outstanding finance. The company will have cleared the finance and have clear title to the vehicle at point of sale.
Its not my job to provide the funds and check that the finance is paid off as a buyer, its the sellers responsibility.

Why would you need to clear it with the finance company? It is no different than part exchanging a car with outstanding finance, it happens all day every day and is nothing out of the normal. As for being wary of buying a vehicle that has ever being subject to finance then you would be seriously limiting your choices as the vast majority of new vehicles are sold with some aspect of finance.

As a buyer you can speak directly to the finance company at the time of purchase, pay the outstanding finance by direct transfer and the balance of the sale price to the vendor. You leave with the vehicle, a bill of sale/receipt and the V5 - so it definitely belongs to you - and you know title is clear, because you have cleared it. I wouldn’t do this in a backstreet in South East London, or in an isolated location obviously, but if you are at the home of the vendor and their name and address corresponds to the V5, is it really any more risky than a dealer transaction?

 

[GrahamB]

Yes that’s very likely the case -

Might it be that VW finance apply a standard GFV calculation?
If the unusually high values seen recently continue, you might find your final balloon payment is significantly below the true value?

but nothing to worry about! Because it means you have more equity in the vehicle, which they will take into account if you trade in - the GFV is only relevant if you hand it back.

Thanks - how does the trade-in value work? Don’t you just have to decide whether to pay the balloon and own it, or hand it back? Otherwise what do you have to trade?

The trade in value is the difference between what the dealer will give you for it (or any other buyer for that matter) and your outstanding finance. Don’t worry about excess mileage either - that is also irrelevant unless handing back.

 

[WelshGas]

As a buyer you can speak directly to the finance company at the time of purchase, pay the outstanding finance by direct transfer and the balance of the sale price to the vendor. You leave with the vehicle, a bill of sale/receipt and the V5 - so it definitely belongs to you - and you know title is clear, because you have cleared it. I wouldn’t do this in a backstreet in South East London, or in an isolated location obviously, but if you are at the home of the vendor and their name and address corresponds to the V5, is it really any more risky than a dealer transaction?

Strange Happenings: "We Have Received an Application to Record Someone Else as the Registered Keeper" !

Without giving us your reg number can we have a photo? We can all keep an eye out for adverts for similar vans? If nothing else knowing the colour would narrow down the possibilities. Look out for anything like this ...

vwcaliforniaclub.com

 

[SpuffingtonMe]

Bit of a thread resurrection but I figured it was probably the best place to start rather than create a new thread.

I bought my 67 plate T6 Ocean on Saturday and am already head over heels. It was bought with cash on the basis of getting a loan against some of it to ensure I didn’t have a huge amount of cash tied up in the vehicle. Rightly or wrongly, I take the view I’d rather pay a small amount of interest to spread the cost and have cash in the bank than tie up all my cash.

The issue is on this, however that I still have my 9month old X5 sitting on my drive with finance against it. It will be sold next week and finance cleared but means that my bank was less than keen to lend me money for the VW.

It’ll be fine. I can afford to sit with the cash in the vehicle but will probably raise some finance against it in 6m once my credit rating bounces back from settling the BMW finance.

Question is - has anyone used a 3rd party (ie non VWFS) financing company to secure HP against the vehicle? I know it’s a niche market so would like a bit of a steer before I tap up some of the companies who have been chasing me on financing my previous Porsches and other stuff.

Many thanks in advance.

 

[andyinluton]

Bit of a thread resurrection but I figured it was probably the best place to start rather than create a new thread.

I bought my 67 plate T6 Ocean on Saturday and am already head over heels. It was bought with cash on the basis of getting a loan against some of it to ensure I didn’t have a huge amount of cash tied up in the vehicle. Rightly or wrongly, I take the view I’d rather pay a small amount of interest to spread the cost and have cash in the bank than tie up all my cash.

The issue is on this, however that I still have my 9month old X5 sitting on my drive with finance against it. It will be sold next week and finance cleared but means that my bank was less than keen to lend me money for the VW.

It’ll be fine. I can afford to sit with the cash in the vehicle but will probably raise some finance against it in 6m once my credit rating bounces back from settling the BMW finance.

Question is - has anyone used a 3rd party (ie non VWFS) financing company to secure HP against the vehicle? I know it’s a niche market so would like a bit of a steer before I tap up some of the companies who have been chasing me on financing my previous Porsches and other stuff.

Many thanks in advance.

You can't normally get HP on a vehicle you already own - unless its to a logbook loan type company.
You would just get a normal bank loan thats not secured on the vehicle.