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How it works
Enter your reg
To sell your financed car, pop in your registration number for an instant online valuation. Create a detailed profile of your car from your phone in minutes.
Contact more than a 5,000 car dealers
We’ll notify our nationwide network of more than 5,000 dealers, who will compete online to give you the best offer for your financed car.
Get your offer
We’ll present you with the highest offer. Once you’re happy, we’ll arrange a free and convenient collection date.
Finish your sale and receive payment
Complete your sale without any hassle. Your payment will be securely transferred to your bank account within 24 hours of collection.
Why sell a car on finance with Carplus and Motorway?
Instant valuation
Get an accurate car value instantly with our advanced tech, using up-to-the-minute market data for a quick and precise estimate.
Highest price
We connect you with the top-paying dealer in our car dealer network, ensuring you get the best price for your financed car with zero hassle.
Free home delivery
Complete your sale within 24 hours with our free home collection service. Enjoy a smooth process and fast payment right at your doorstep.
100% free
Our service is completely free for you, as dealers cover all the fees. Sell your financed car with ease, without spending a penny.
What can impact the valuation and price of my financed car?
Lower mileage usually means a higher value, reflecting less wear.
Be honest about any chips, dents, or scratches to get an accurate valuation.
A full history boosts value, showing the car is well-maintained.
A valid MOT increases confidence and appeal.
Fewer owners generally mean a higher valuation.
Popular colours like blue, grey, and black may attract more offers.
Cars in remote areas might be valued lower due to collection costs.
Write-offs usually have a lower value, with some categories not accepted by dealers.
How can I sell my car for the best price?
Repair major defects
To sell your car on finance for the best price, ensure your car is in good condition. While minor scratches are okay, fixing major defects makes your car more attractive to buyers and could help you secure a higher offer.
Offer a transparent description
Be clear and honest about your car’s condition, highlighting key features and any issues. Transparency builds trust and helps you get a fair offer without surprises later for your financed car.
Maintain a complete service record
Keep a full record of your financed car's service history, including any repairs and the remaining time on its MOT. This reassures buyers that your car has been well-maintained. A complete service record can boost your car’s value and make it more attractive to buyers.
Make your shine
Give your car a good clean, inside and out, to make it look its best. Take clear photos from different angles to show off its condition. A clean and well-presented car grabs buyers' attention and can help you get a better price in order to sell your car on finance.
What do you need to sell your car on finance?
| Bring your V5C form for the car selling process. |
| Include the service history when selling your vehicle. |
| Ensure you have your driving licence on hand. |
| Show proof of purchase for a seamless transaction. |
| If on PCP or HP, provide the finance settlement letter. |
What happens when you sell your car on finance?
If you're financing your car through HP (Hire Purchase) or PCP (Personal Contract Purchase), it's crucial to note that the vehicle remains under the finance company's ownership until you've settled the full amount owed. Despite this, selling a car with outstanding finance is a viable option. Reputable car dealers and buying services often have the ability to clear the finance on a car still under contract, allowing you to exit your current agreement and sell your car hassle-free. In essence, while you might not possess the immediate right to sell, practical solutions exist. Trusted dealers and services can simplify the process, providing you with a clear pathway to sell your financed car, even before the contract concludes. Ready to sell? Let us help you navigate the process smoothly.
How can I sell my car with outstanding finance?
Can I sell a car with outstanding HP finance?
If your car is under a Hire Purchase (HP) agreement, the legal ownership remains with the lender until you complete all payments. To sell the car, follow these steps:
- Get a Settlement Quote: Contact the finance company for a settlement figure. You'll receive this within a few working days, outlining the amount and a specified payment period.
- Clear the Amount: Pay the settlement figure within the given period. Once settled, you gain the right to sell the vehicle.
For those who've paid less than half of the total owed, an alternative exists. Utilize Section 99 of the Consumer Credit Act 1974 – 'voluntary termination':
- Return the Car: Pay the remaining instalments to reach at least half of the outstanding value, covering interest and fees.
Selling your financed car becomes straightforward with these steps. Explore our guide for more insights on cancelling your car finance early. Ready to sell? Let's make it happen.
Can I sell a car with outstanding PCP finance?
If you're looking to sell a car under a Personal Contract Purchase (PCP) agreement, it's a straightforward process:
- Complete Repayments: Ensure all repayments, including the final balloon payment and additional fees, are settled.
- Early Settlement: Should you wish to sell mid-agreement, consider paying off the PCP early – especially if the settlement figure is lower than your car's value. Once settled, you become the legal owner, ready to sell as you please.
- Voluntary Termination Clause: Some PCP contracts offer a 'voluntary termination' clause. If you've paid half of the total repayments, returning the car is an option, though you may forfeit potential positive equity.
Remember, the finance company's decision affects vehicle ownership. With a settlement letter and the original V5, selling to us is a hassle-free process. Ready to sell? Let's make it happen.
What are the requirements for selling your car on finance?
- Obtain a 'settlement figure' from your finance company, which specifies the final amount needed to end the finance contract.
- The settlement figure is typically valid for 10 days, during which you should sell your vehicle or request a new settlement figure if needed.
- If the settlement figure exceeds your offer (known as negative equity), you'll need to pay the difference to the dealer, who will settle the amount with your lender.
FAQ
What if my vehicle is not eligible to sell?
If your vehicle doesn’t qualify for sale in our network, we’ll notify you after you provide your registration and mileage. We’ll then recommend an instant online buyer as an alternative, making it easy for you to sell your vehicle quickly.
What affects the price I’ll get for my car?
Curious about what impacts your car’s value?
- Market prices: Live data ensures a fair and accurate valuation.
- Age and mileage: Newer cars with lower mileage are worth more.
- Condition: Scratches and wear can lower your car's value.
- Previous owners: Fewer owners generally mean a higher price.
- Service history: A full service history boosts your car’s value.
Is it illegal to sell a car on finance?
It’s legal to sell a car with outstanding finance, but you must follow the right steps: notify your lender, get a settlement letter, and clear the balance. Selling a financed car without disclosing the finance is illegal and risky—you could be left liable for the remaining debt. Remember, until the car finance is fully paid, the lender owns the car. Always check your contract and, if needed, get legal advice to understand your rights. Stay informed to sell confidently and avoid legal issues.
What happens if I buy a car with outstanding finance?
If you unknowingly buy a car with outstanding finance, you may still keep it, known as having a 'good title.' However, the finance company might contact you for payment. If they hold you responsible, you can seek help from the Financial Ombudsman or get legal advice. It’s important to handle the situation carefully to ensure a fair and legal resolution. Stay informed and take the right steps to protect yourself.
Can I sell a modified car on finance?
Yes, you can sell a modified car, but it might attract fewer offers since some dealers prefer standard vehicles. To boost your chances, provide documentation of professional modifications and consider including original parts, as some dealers may want to restore the car to its original condition.
Will a car dealer settle my finance?
Yes, many dealers and car buying services can settle your outstanding finance when you sell your car. Whether you pay off the settlement yourself or have the dealer handle it, you’ll need to notify your finance company about your plan to sell. This ensures a smooth and legal process.
Can I sell a financed car privately?
To sell your car privately, you must first pay off the remaining finance. Attempting to sell without clearing the debt or informing the buyer is illegal. Once the finance is settled, and you have confirmation from the lender, you can proceed with the sale. Always be transparent with potential buyers about the car's financial status to ensure a smooth and legal transaction.
Can I settle the outstanding finance myself?
Yes, you can pay off your settlement amount figure directly with the finance company. However, if you're planning to sell the car, working with a car dealership or buying service can simplify the process and ensure everything is handled smoothly.
Does voluntary termination of car finance impact your credit score?
No, voluntarily terminating a PCP or HP agreement early won’t negatively impact your credit score. However, some finance companies might not approve future applications from you after termination.
Can I save money by paying off my car finance early?
Yes, you can usually save money by paying off your car finance agreement early, thanks to a rebate on interest under the Consumer Credit Act 1974. However, don't just send the full outstanding amount—ensure you receive your interest rebate. Typically, you'll only need to pay a couple of months’ interest and possibly some admin fees. Check your agreement for the exact terms to avoid any surprises.