Buying bike privately that has money owed on it [Archive]

KelvinAng

21st February 2010, 13:01

Genie

21st February 2010, 13:10

well done for checking it out, so many don't.
If it were me I'd be finding out how much is settlement figure and make a cheque out direct to them and give him the balance.
also, would have a wee chat with the finance company to check you can do that.
Have fun on the new bike

KelvinAng

21st February 2010, 13:14

If it were me I'd be finding out how much is settlement figure and make a cheque out direct to them and give him the balance.
also, would have a wee chat with the finance company to check you can do that.

Cheers for that, Genie! I called the company and the voice recording says they're closed today, so sent off an email hopefully they would be able to advice me. The two cheque method sounds good. I haven't thought of that... that's brilliant!

JimO

21st February 2010, 15:10

i wouldnt trust the seller to pay the finance on the bike, make sure this is settled before you complete the purchase

CookMySock

21st February 2010, 16:59

Yep, tell him to sort it out or no deal.

Steve

scott411

21st February 2010, 16:59

MTF will not give you the payout figure, he will have to get it for you, (privacy bullshit)

as said above, settle the finance yourself, and give him the balance,

alot of dealers use MTF so you may be able to do it though the dealer he brought it off,

Hoon

21st February 2010, 17:31

I went through the same thing. I drafted two bank cheques, one to the finance company and the other to the seller for the difference. If the seller accepts personal cheques then good for you, I wouldn't (unless as the seller I held onto the bike until they cleared). Also quote the loan account number on the finance co cheque just on the off chance that the seller has another loan and puts it towards that one instead - better safe than sorry.

tigertim20

21st February 2010, 21:24

I'm looking at this bike and am thinking of going through with the purchase, and so did a carjam report to see if it has money owed on it. It has, and through MTF.

The owner says the money (that I would be paying him for the bike) will be put towards paying off the debt. It's my understanding that if he does not, then the finance company has the right to repossess my bike.

So what do you guys think is the best way around this?
decide what you want to offer him (say 5k)
then subract what is owed from your offer (say 2k owed?)
tell him you will give him 3k, and cover the balance of the debt yourself.

thats what id do if i really wanted it.

KelvinAng

22nd February 2010, 15:09

An update: the guys at the finance company wrote an email back saying they need the seller to call them up to authorise me access to his account, to which seller just did. Another email was then sent to request details on me settling the debt and hopefully I'll have a new-to-me bike soon :yes:

Maha

22nd February 2010, 15:17

I'm looking at this bike and am thinking of going through with the purchase, and so did a carjam report to see if it has money owed on it. It has, and through MTF.

The owner says the money (that I would be paying him for the bike) will be put towards paying off the debt. It's my understanding that if he does not, then the finance company has the right to repossess my bike.

So what do you guys think is the best way around this?

I sold my Triumph with money still owing on it, the finace company ok'ed it (I told them I was selling it) the purchaser knew about the money owing so he got an aggreement drawn up for us both to sign. Which I happily did because im an honest bastard.

pic shows part of the agreement (I croped out the names and $'s)

He paid me the money, I settled the debt.

3umph

22nd February 2010, 16:34

I sold a cage one and met the new owner at the finance co and he payed them then balance to me and took it away....

DONT take there word for it... we got stung once and that was from 2 owners before!!! luckly I got in contact with the scum and he ended in paying up and getting te bike back...

suggest you meet at the finance co and do the deal there...

Bikemad

22nd February 2010, 16:39

Flip

22nd February 2010, 21:16

Well I get sentimental about money, it's a Scotts' thing.

I would not buy a vehicle that had a interest logged against it, not worth the risk.

sinfull

22nd February 2010, 21:23

Sounds like the seller's straight up, carry on with the two check deal and good luck with the new ride !

R1madness

23rd February 2010, 09:06

I'm looking at this bike and am thinking of going through with the purchase, and so did a carjam report to see if it has money owed on it. It has, and through MTF.

The owner says the money (that I would be paying him for the bike) will be put towards paying off the debt. It's my understanding that if he does not, then the finance company has the right to repossess my bike.

So what do you guys think is the best way around this?

Pay the finance company the outstanding debt not the owner then settle the balance with him. Otherwise you will most likely end up with a repoed bike and no legal comeback on him.

KelvinAng

23rd February 2010, 14:51

Yep seller seems like a straight up bloke. Two cheques wouldn't work as the finance company wants a bank transfer, so I drafted out a sales agreement basically saying the bike becomes my property the moment I pay out the debt (sum and account number as quoted to me by the finance company) and him the remainder. Once he signs the agreement I'll pay out the debt, give him the balance and once the finance company confirm money received and all's good I'll then collect the bike. I suppose there's an off-chance the seller may disappear the moment the bike is paid out but hopefully with the agreement he signs I can then say it is my bike and it has been stolen or that the seller committed a fraud.

MSTRS

23rd February 2010, 15:15

Can you find/decide on a mutually acceptable third party to hold the bike until all finances have been cleared?

Genie

23rd February 2010, 15:15

sounds like it's going well, hold on with giving him the balance until you do the hand over of keys.....how cool you will have new bike for the weekend...all the very best.

KelvinAng

23rd February 2010, 15:39

The balance is very, very low so it's like practically the entire sale price goes into paying the finance company. Having a mutually acceptable third party would be great if I've thought about it earlier! I guess the sales agreement would have to do as I'll have to make the payment to the finance company today. I suppose if the finance company really does hold onto the money for 10 days before "clearing it" like they said they would then I'll have to to get a third party to hold onto the bike while the finance clears.

KelvinAng

26th February 2010, 08:52

Just to update the thread. Got me bike :yes: Was a bit scary to be honest as the seller disappeared for a day :blink: but it all turned out good.

MSTRS

26th February 2010, 08:56

good stuff.
Now...tell us all about it. With pics.

KelvinAng

26th February 2010, 10:04

Pics, yes! To come after the weekend I reckon, right after I'm done house-moving and giving the bike a wipe down. Will prolly post it as a conclusion to my other thread:
http://www.kiwibiker.co.nz/forums/showthread.php/119102-Cruiser-riding-question-M50-resale-value-ramblings

Cheers guys for the suggestions posted on this thread, they're very helpful :yes:

Genie

26th February 2010, 10:58

See I knew you would have that bike by the weekend, congrats. Genie knows these things.

You mention shifting and giving the bike a wipe down, I don't read anywhere about riding, I'm guessing that's a given? :lol:

Have heaps and heaps of fun on your new toy.

KelvinAng

26th February 2010, 12:28

You mention shifting and giving the bike a wipe down, I don't read anywhere about riding, I'm guessing that's a given? :lol:

What riding? I thought the M50 would make a great garden ornament :whistle: