I’ve seen a really nice 2009 low mile FZ6 that I like.
The seller mentioned in his ad that the bike has finance owed that he cant afford due to recession and that whoever buys the bike will just pay off the rest of the finance £3400 and take the bike.
He told me to meet him and I’ll settle the debt on the phone with the finance company and take the bike.
Any tips on how I should approach this? Or does it sound too dodgy?
Obviously I want to see his documentation and ensure the phone number I’m calling to settle the debt is all official.
Are there any possible come-backs from the finance company after paying the debt off and signing the bike to my name?
There have been a couple of topics on this recently, with one member having a very bad experience.
Personally, I wouldn’t want to get envolved unless you have written confirmation from the finance company that indeed they had finance on it, and they don’t have any interest on it anymore (i.e. the finance has been payed off).
There was a recent thread on something similar and the general consensus was that the OP was advised to steer clear.If you do your due dilligence with an HPI check (to confirm there are no other secured loans etc) and look into the finance company etc then it should be alright… It’s not the ideal way of doing things, but there you go. Perhaps also ask the seller to contact the finance company and to send through a letter detailing the settlement figure…
I feel sorry for people in this position. No one wants to buy the vehicle due to outstanding finance and if you don’t have the cash sitting around to pay it off then you’re a bit buggered - they start missing repayments, get the vehicle taken, sold for a fraction of the price, left to pay the balance, CCJ’s and before you know it your banged up in a Siberian prison. OK well maybe not quite, but yeah…
You could always write the cheque to the finance company direct once you have proof of the settlement figure. At least you know where your money is going and not into someones pocket never to be seen again.
But if you DO do it by phone - check the number - usually starts with an 08… - ask for an instant receipt via email (check this on your phone, and check the email it is coming from.
But as said, do an HPI first (you’ll know who has interest in it?) - and go to the guys home to do the deal.
Oh, and make sure it’s on your credit card, as you may have a comeback.
+1 - Get the seller to produce a written proof of the settlement and then settle the finance with the finance company directly using your credit card for extra protection
Don’t forget about Log Book Loans not showing on an HPI check as they do not have to register an interest until up to two years after the loan was taken out, as per SuperOli’s sorry mess.
+1 - And do a google search on the finance company, and give them
a call quoting the account no / reference, from the written proof, to confirm
the full amount that would be required to settle and close the loan account.
