Outstanding finance.

Honest John Back Room » Motoring discussion
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Fri 28 Jan 2005 18:35
Outstanding finance. - y2k+4
Here's a question for the legally minded, among you: If you buy a car with outstanding finance (hire purchase), are you (the new owner) liable for paying it off? Do you even own the car you've just bought?
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Fri 28 Jan 2005 18:47
Outstanding finance. - Badger
My understanding is that the finance company is the owner, and that the keeper is only hiring it from them for the period of the loan. Until the debt is discharged, he has no good title to pass to you and so you are not the owner. Such a sale could actually be fraudulent under certain circumstances.

If, however, the car has passed through several other hands since the original hirer sold it then you may have a good title, so it could depend on how far down the chain of owners you are.

A dodgy area that needs legal advice on the particular circumstances.
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Fri 28 Jan 2005 18:49
Outstanding finance. - Hugo {P}
In the absence of any legal advice, don't touch it until you KNOW the finance is settled!

Hugo
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Fri 28 Jan 2005 18:50
Outstanding finance. - Badger
Absolutely not.
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Fri 28 Jan 2005 22:34
Outstanding finance. - martint123
Car still belongs to finance company. This is the primary objective of getting an HPI check done before buying.
Remember V5(c) indicates keeper not owner.
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