Buying a car with finance owed...

I have looked at a great second hand car being sold privately; however, car history reports show that there is outstanding finance on the car. The owner has told me that the finance was cleared this morning, but that it could take the bank two weeks to finalise and close the account. Is there any way that the current owner can get his bank to prove to me that the loan has been cleared and that it is ok for the car to be sold to me?

Neil O'Callaghan (Dublin)

Dec 2012 Filed under: finance

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Expert answer

Hi Neil,

The seller will have to request a letter from the bank confirming all of the above, but I don't know if they'll provide one any quicker. Still worth a try.

I certainly wouldn't advocate taking a risk on it and just believing the seller.

Shane O' Donoghue - Complete Car Advisor
@Shane_O_D