How to Sell a Financed Car to a Used Car Dealer?
2 Answers
Methods for selling a financed car to a used car dealer: 1. First, contact a professional used car dealership to ensure there are no other financial disputes related to the car, and have the dealership evaluate and price the vehicle; 2. Visit the bank together with the used car dealer to process a transfer of lien agreement, which requires providing your valid original ID card and a copy, the vehicle mortgage contract, the vehicle registration certificate, your fingerprint, and signature. A used car refers to a vehicle that is still usable and registered with the public security authorities before reaching the national scrapping standard. Used car transactions mainly take place in the used car market. Financing a car purchase refers to a method where the borrower applying to buy a car pays a portion as a down payment first, and the remaining amount is issued by the lender to the buyer in installments.
I once sold a used car that was still under loan, and the whole process was quite a hassle but worth sharing. Remember to first check with the auto loan bank to clarify the remaining repayment amount—this is crucial because the car is still under mortgage, and you can't directly transfer ownership. I compared prices with several used car dealers, and they were all willing to help handle the loan settlement. For example, the buyer pays the dealer, who then uses that money to repay the bank directly. After obtaining the loan clearance certificate, we could proceed with the ownership transfer. I found this much more convenient, but it's essential to sign a contract to ensure all fees are transparent and avoid disputes. Don’t forget to assess the car's residual value—use an app or online tool to check and ensure the selling price isn’t lower than the remaining loan, or you’ll have to cover the difference yourself. The entire process took about two weeks, but preparing documents like the vehicle registration certificate in advance can speed things up. Consult multiple dealers and choose one with a good reputation to save a lot of trouble.
