17' Series Buying a van privately - please help!

[Tazza77]

Hi all, We are looking at a van this afternoon to buy, however after doing a revs check it shows there is still finance owing on the van. Upon contacting the owner he has told me there is $15K owing, which will get paid if we buy it. I'm not sure what to do there! Im sure he would go and pay his loan, but there is always that niggle of the what if. Can anyone point me in the right direction of where to go from here? Is there papers/contracts etc that can be filled out to assure us that we wont get encumbered with this down the track. TIA.

 

[Tazza77]

All good, sorted it out.

 

[chartrock]

Would be interested to know how you got round the problem.

 

[dagree]

Also interested (Out of curiosity) @Tazza77

I had the same happen a few years ago when we got the boat..... Previous owner obtained a written payout value from his bank (with BSB number etc) so my bank did a direct deposit into the loan account and gave me a bank check for the remaining value.

 

[Tazza77]

I did a REVS check on the VIN number firstly, which showed there was finance on the van. Small price - $3.40 but well worth it. If we choose to buy the van I would either get the final amount of the loan from the owner and make out a bank cheque in that amount to the institution that the loan is held at and then give the remainder to the seller. They cannot cash in a bank cheque unless their name is on it or it is made out for cash. I would ask for a clearance letter from the bank also. Or I would request that we go into the bank and close down the loan together and get the bank to write a letter saying they no longer hold any interest or claim on the van. Then pay the owner the difference there.
If it wasn't a secured loan then it would be fine, but as the van is collateral on the loan I would risk them possibly not paying the loan and then having the bank repossess the van when the loan defaults.