Selling item still on finance

mufc802

mufc802

mufc802

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If someone bought an item from me (on ebay) while I was still repaying monthly finance instalments what are the implications of this? Do they fully own the item I am selling and the finance is a completely separate thing between me and the finance company? They are just asking encase the items needs to be sent back in future if it had problems but was still under warranty.
 
Isn't the item technically still the finance company's until it has fully been paid off. If the item is hard to trace unlike a car it will be difficult for the finance company to locate.
 
mufc802 said:
If someone bought an item from me (on ebay) while I was still repaying monthly finance instalments what are the implications of this? Do they fully own the item I am selling and the finance is a completely separate thing between me and the finance company? They are just asking encase the items needs to be sent back in future if it had problems but was still under warranty.
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It depends on the terms of the argeement but generally it isnt yours, so you cannot sell it - you have no right to sell somebody elses property.

Practically speaking its usually the most problematic if its a vehicle of some sort.
 
It's music equipment. Is it really a problem to sell it still on finance, I cannot find anything in the contract saying I cannot do this. If I miss a payment, they simply charge me more next time, nothing about repossessing the goods.
 
Is there anything in the contract about the goods remaining the property of the finance company until the debt is cleared? If so, you cannot pass ownership to a third party. If it is just a standard loan agreement then it is not related to the actual item in which case you can pass ownership.
 
From the consumer action group website it would appear it may be illegal as you technically dont own it until the payments have been cleared
 
Strife212 said:
Surely you do own it and you just owe a debt to the finance company? Check out the Terms and Conditions.
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From what I've read there is nothing that says the finance company owns the item, its simply a matter of me repaying them the loan.

It's using Barclay's finance by the way.
 
Just a small update on this - the sales invoice says I fully own the equipment as the finance company has paid for it in full. The finance documents says its just a personal loan so they do not own the equipment either, they are just lending me money and if I do not repay they simply charge me more money and require me to repay earlier. They do not repossess the goods I bought.

Thoughts?
 
For a personal loan where you've been given the money to spend then the related goods - well aren't really related you just owe a debt to the lender. Its different where you've bought something specifically on specific finance like a car.
 
Car loans are secured against the vehicle, unsecured loans are exactly that. From what you've said it would seem alright.
 
If that's what the documents say seems straight forward that you own them and can sell them.

The next issue is that usually any manufacturer warranties are not transferable, which means only you can deal with returns/warranty issues etc.

May be transferable, but you'll need o read the terms.
 
[TW]Fox;25351514 said:
It depends on the terms of the argeement but generally it isnt yours, so you cannot sell it - you have no right to sell somebody elses property.

Practically speaking its usually the most problematic if its a vehicle of some sort.
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haha, would you believe it, i told you it happens ;)
 
Isn't it dependant on if you use an third party finance company to loan you the money for the purchase?
You're basically borrowing the money from a third party and whatever you bought is irrelevant?

Anyway, I can't see anyone getting too upset as long as you're still making payments.
 
You can do it as the goods are 100% paid for. Nothing to do with the loan. Companies always work on that basis with goods as there is no value taking them back if you don't pay as things depreciate so much.

However, I would feel far happier paying the loan off with money I received for the item. Otherwise you'll sell the item, knock the money out, and still be paying monthly for absolutely nothing. Very easy to get yourself fin trouble that way.
 
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