finance on car and they want car back

[cbr786]

hello all I need some advice here. I bought a vehicle with out realising their was out standing finance on the car.

The Finance company have been in touch saying they want the car back. The problem I have is the engine blew up on the car and I gave it into a local garage to remove engine and replace it with another used engine. The garage have done some work on the car and want £2500 off me for the repairs before they will release my car. I do not wish to pay the the garage if the car is going to get taken by the finance company as it will mean throwing good money away.

I want to know what will the Finance company do ? Will they pay the garage owner his bill and take car away knowing very well the car is only worth £4000 as it has dents and scrapes as well or will they say to the garage owner he can keep it for £1500 or can they force the garage owner to hand car over even thought he exercises lien on the car due to his unpaid bill?

[Sapphire]

Re: finance on car and they want car back

Hiya and welcome to Beagles,

How much is left on the finance ? What proportion have you paid ? ie: 40%, 50% etc. Before anyone can help we need to know those figures, in order to work out what comes next.

[cbr786]

Re: finance on car and they want car back

hi I believe the car was originally bought for 12000 some finance has been paid off how much I am not sure as I was not the person who took out the finance. I tried talking to finance company but they replied they have closed the file???? an moved it to independent debt collection company????

The debt collection company just want the car back they say the finance outstanding on the car is over 7000 however the car is only worth 4000 negative equity ? also the car is sitting in garage with a 2500 repair bill? so if the company want the car back they have to pay 2500 to garage owner then remove car and auction it off for 4000 or near to that figure. This will be silly as they would have already paid 2500 to release it from the garage and would only recoup 1500 of a 7000 debt .

[Amethyst]

Re: finance on car and they want car back

What kind of finance is on the car?
How did you buy the car?
When did you buy the car?

[Amethyst]

Re: finance on car and they want car back

This from DirectLine

• The car has outstanding finance?

If a finance company is still owed money from the previous owner of the car it would be unable to recover the car against your will. The Consumer Credit Act 1974 gives ”good title” to the innocent private purchaser of a car which later turns out to be subject to a claim by a finance company. However, if you had known or had suspicions about any agreement, and didn’t ask any questions, you would not be considered to be an innocent purchaser – ownership would not pass to you and the car could then be repossessed.
The only action you can take in these circumstances is to sue whoever sold you the car – if you can find them.

[Amy]

Re: finance on car and they want car back

Have a read here of post #2 Vehicle Ownership - Legal Beagles Consumer Forum

[The Debt Star]

Re: finance on car and they want car back

Hi. Isn't this a criminal offence? I mean, the original owner sold a vehicle with the intent to defraud? I might be wrong....?