Hi help for new member

[Subs187]

Hi

I am hoping someone could point in the right direction to help in relation to a vehicle that bought that has outstanding hire purchase agreement but the seller is not the one who took out the HPA. I have read about a similar case on this site that was successful under section 27 HPA 1964.

Thanks

[Guest]

On website www.hpi.co.uk it says:

It’s illegal to sell a car that still has outstanding finance on it. If a car is bought on credit, before it can be sold the finance company must be contacted and will provide a ‘settlement figure’, which is the cost to pay everything off. This must be paid in full, along with any early repayment fees, before the car can be sold.

[MIKE770]

if somebody buys a car which is subject to HP etc then they stand to loose car and monies as finance companies property!

[Guest]

Same website also says:

Even if you bought the vehicle in good faith, if the finance hasn’t been settled then the lender could repossess the vehicle, meaning you could lose the car and the money you paid.

(Same as what Mike 770 said)

[MIKE770]

Same website also says:

Even if you bought the vehicle in good faith, if the finance hasn’t been settled then the lender could repossess the vehicle, meaning you could lose the car and the money you paid.

(Same as what Mike 770 said)

hey stand to loose car and monies as = what I stated

[Subs187]

HPI Website say a lot of things but it's now law. when looking at section 27 of HPA 1964 is states the following:-

S.27 Applies where a motor vehicle has bailed or hired under a hire purchase agreement, or has been agreed to be sold under a conditional sale agreement, and, before the property in the vehicle has become vested in the debtor, he disposes of the vehicle to another person.
S.27 (2) Provides that where the disposition of a motor vehicle has taken place to a private purchaser in good faith and without notice of the hire-purchase agreement or conditional sale agreement, that disposition shall have effect as if the title of the owner or seller to the vehicle had been vested in the hirer or buyer immediately before that disposition.

Can anyone confirm if under Section 27 of the Hire Purchase Act 1964 will apply to the second or third buyer and the previous seller who sold the car was not the one who took out finance but also bought the car in good faith and without notice of the hire purchase agreement.