buying a car with HP settlement needed

[DavidR]

I am thinking of buying a car which has HP needing settlement. The owner was upfront about it when I went to see it and will pay the settlement figure today via EFT.

The finance company say it will take 10 days before they say it's clear and HPI say the same.

Whilst I could wait the 10 days I was looking for a car pickup this weekend. The vendor says he will show he's paid the money out of his account and to the HP company with bank statements etc. He wants the deal done on saturday cos he's borrowed the money from GF's mother to settle the HP.

No signs of dodgy dealing, long term residents at address,   Mum wants her money back sooner rather than later

I would appreciate advice from all you avid car buyers cos I've not been in this position before.

David

[GSi]

I'd wait until the finance company have agreed the debt is cleared.  There was a scam with foreign cheques which appeared to clear in your bank and then the foreign bank came back a bit later saying there were no funds and the money taken back out.

This could work the same way.  If he shows you the money has gone from his account (whether it was there or not) and you then take ownership of the car and it doesn't materialise at the finance company, then you're on a sticky wicket.

Its probably all above board, but I don't think I'd take the risk.  He'll have to wait to pay back his girlfriends mum, the pitfall of selling a car with HP.

Just my opinion.

[Mid life crisis]

Why not settle with the finance company yourself and deduct the settlement figure from the purchase price   or does that route have pitfalls also.  

   

[robthehungrymonkey]

Why not settle with the finance company yourself and deduct the settlement figure from the purchase price   or does that route have pitfalls also.  

   

I agree, that's the route we'd take at work.

We only deal with the finance companies, wether this is possible or not with private deals, I'm not sure.

[Robandcolin]

Yes it is possible and I would definatly go that route for peace of mind

Rob

[Barry Ashcroft]

When I bought Lou's Audi it had HP on it I got the settlement figure from the seller and had the bankers draft made out to the finance company did the paperwork with the seller and he posted the draft off job done.

He even had to give me money back as he owed more than I paid him for it