If I unknowingly buy a car with outstanding finance on it, am I then liable for any remaining payments?

I have found a used car that I wish to buy, however, I have become suspicious about the past financial history of the car. I think it may have been bought on finance and there are still payments to be made on it. How do I find out if there are any outstanding payments and, if I buy it, am I then liable for any outstanding payments?

Asked on 21 April 2018 by Michael Cox

Answered by Honest John
You can use a history check such as HPI, Experian or our own history checker (www.honestjohn.co.uk/car-data-history-checks) to find out if a loan or finance is registered against it, but this won't necessarily tell you if a 'chattel mortgage' such as a 'logbook loan' has been taken out against it. If there is, then you will have effectively bought the debt and if you don't pay it off then the car could be snatched back.
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