Can Original Mortgaged Vehicles Be Purchased?

[StAiden]

In addition to vehicles with expired mortgages auctioned by the court, other situations are not recommended for purchase. Mortgaged vehicles are essentially loan vehicles, which can be divided into the following two scenarios: 1. Scenario one: Vehicles mortgaged to a bank for installment payments. 2. Scenario two: Vehicles mortgaged to individuals or companies for loans. Below is an introduction to relevant content: Actual situation: The legality of purchasing a mortgaged vehicle depends on the actual circumstances. If the mortgage has been lifted and there is a thorough understanding of the vehicle's condition, it can be purchased. If the mortgage has not been lifted, purchasing it may entail certain risks in the future.

[IsabellaDella]

As a law firm, we frequently handle such cases. Purchasing an originally mortgaged vehicle carries legal risks due to unclear ownership, as the vehicle title is still held by the bank or financial institution. Buying such a car is like purchasing a ticking time bomb—the original owner might default on payments at any time, leading to the vehicle being impounded or repossessed, rendering your investment worthless. Additionally, these vehicles cannot undergo ownership transfer procedures, making them highly susceptible to being seized by traffic police during routine checks. Unless you're well-versed in property law procedures and have professional oversight, I strongly advise against it. Opting for a certified used car might cost an extra ten or twenty thousand, but the peace of mind it brings is invaluable. Why drive in constant worry?

[LeNora]

Last year, I bought a repossessed used Audi at a bargain price, 40% below market value. At first, I thought I got a great deal, but three months later, the bank came to repossess the car, saying the previous owner defaulted on the loan. The seller's phone was already disconnected, and the police said it was an economic dispute that I had to resolve myself. Now, I've lost both the money and the car. Later, I found out the car even had a tracker installed, leaving me in constant fear. I advise you not to follow my path—buying a repossessed car is like picking up a sesame seed but losing a watermelon. The small savings end up costing much more. If you really want to save money, consider financing a new domestic car with a down payment of just 30,000 to 40,000 yuan—far better than dealing with such risky vehicles.

[DeAlana]

Having been in the used car market for over a decade, I can attest that mortgage vehicles are a minefield. While the prices may seem tempting on the surface, nearly 90% of them come with hidden issues. Some dealers remove GPS devices and install new hidden trackers to facilitate repossession. Others may have previous owners with unpaid high-interest loans, leaving you vulnerable to vandalism like paint splashing at midnight without your knowledge. The most critical issue is the transfer of ownership – the DMV system shows the vehicle as mortgaged, making official procedures impossible, so you can only drive it as an unregistered vehicle. The worst case I've seen involved a buyer whose car was forcibly repossessed by the court after six months, leaving them to cover parking fees on top of the loss. If you genuinely want to buy a car, stick to legitimate channels – don't court trouble for the sake of saving money.