Can I sell a car even though it still has finance on it?
I traded in my car to buy another car but my husband at the time got the loan in his name. I pay for the loan until recently because i lost my job but now i want to sell it. It is registered to me but there is still finance owing on it. Can i sell it?
Did you get the loan through the bank? Normally if you get a private loan (loan for personal use), the loan is used to pay the vehicle in full and you just make regular payments to the bank. The car is then legally yours although you are legally bound to pay back the loan offered to you by the bank. Under these circumstances, you can sell the car.
However if you got finance, say, through the car dealer, then the car is still owned by the dealer until you have paid off the total for the car. So what kind of agreement was in place to purchase the car in the first place?
My daughter pays the monthly amount for her car to the finance company. The loan is not in her name and the named person is going bankrupt. She is the registered keeper and there are 15 payments left. What will happen to the car when bankruptcy takes effect?