Outstanding finance on used Merc

[pembssurf]

Hi all. Just put down a deposit with a main Mitsubishi dealer on a 11 plate merc c class estate.

Have just come up against one obstacle though. I am buying from a main mitsubishi dealer who said they had completed all HPI checks however when i went home and did my own RAC HPI check it comes up as having outstanding finance against both the VIN and VRN. After finding this out i called the finance company who the money is owed to (creative finance) and they confirmed it was actually a "sales finance agreement" basically a personal loan that is non-secured. Asked them if thats the case why is it listed as having finance outstanding against the VIN to which they could not answer. Immediately followed this up with a call to the dealer who said "oh yea we knew about that we have actually already settled the finance with the company it will just take some time for it to come off". Are they trying to pull a fast one or is this the case? Either way i have let them know i am not picking up the car and paying the remaining balance (have paid £500 deposit) until the HPI check is clear. Anyone have any experience of this?

Here is the RAC HPI result.


Your reference number EM15609841
Your check was performed on 25/10/2014 14:30
Report Summary
VRM and VIN currently recorded as having outstanding finance
Update your RAC Car Data Check

Use your reference number and VRM to update this check. Alternatively, click on the update link in the email you will receive from us shortly.

Alert Details


Plate Transfer

The current plate was transferred to this vehicle on 14/10/2014
CEZ5*** was applied to this vehicle on 26/03/2014
There are no interests recorded against CEZ5184
LN11T** was applied to this vehicle on 23/03/2011
There are no interests recorded against LN11T**
Click to find out about:

Plate Transfer

Outstanding finance

Recorded againstVRM and VINDescriptionC CLASS C180 CGI BLUEEFFIDate17/03/2014Finance houseCREATION CONSUMER FINANCE LTDFinance house telephone0871 664 6500Agreement referenceYA9113026W128267Agreement typeCredit Sale

(Similar to other credit agreements, in this case the purchaser does become the owner of the vehicle at the start of the agreement. If you are concerned because the vehicle you are looking at has this type of finance, you should seek clarification from seller of the vehicle.)

Vehicle Ownership

There are many circumstances where the 'owner' of a vehicle is not the 'keeper' as recorded on the DVLA V5C document. These circumstances are described in more detail in the notes accompanying each alert register.
Police stolen
VRM and VIN not currently recorded by the police as stolen

Insurance theft
VRM and VIN not currently recorded by insurers as a theft

Outstanding finance
VRM and VIN currently recorded as having outstanding finance

Security watch
VRM and VIN not currently recorded as at risk on the security register

Plate transfer
2 previous plate(s) recorded for this vehicle

 

[brucemillar]

You have done the correct thing. Wait for the dealer to resolve it to your (HPI) satisfaction.

 

[IanA2]

You have done the correct thing. Wait for the dealer to resolve it to your (HPI) satisfaction.

Yup + 1

 

[paul_c]

Yeah, wait for the dealer to sort it out. If they seem unwilling but you really are interested in the car, ask the finance house what the outstanding amount is on the car, you might be able to pay them direct for this etc. I'd imagine the dealer wouldn't be too happy about it though. Presumably they've taken it in as a part exchange.

 

[Spin_bowler]

What they all said, wait until it's showing as clear or walk away. There's plenty of 11 plate 204's to choose from.

 

[Dave Barlow]

Loosely along the same lines, I went to the Police station to enquire as to whether there was any dubious history with a caravan (yes I know) I was interested in buying.
They said that they couldn't tell as it was covered by the data protection act, but if I buy it, then they would tell me, and if it was stolen
they would take it off me, and possibly charge me with accepting stolen goods!!!

 

[Dieselman]

Loosely along the same lines, I went to the Police station to enquire as to whether there was any dubious history with a caravan (yes I know) I was interested in buying.
They said that they couldn't tell as it was covered by the data protection act, but if I buy it, then they would tell me, and if it was stolen
they would take it off me, and possibly charge me with accepting stolen goods!!!

LOL. Don't you just love the Police hiding behind the DPA.
They couldn't tell me the name of the person that deliberately ran me over due to DPA, nor would they release his insurance details...and because it was a first recorded offense, allowed him to accept a Police caution.
I was first given this cheery news while being treated in hospital.

 

[pembssurf]

Thanks for all the replays regarding this. I have stated to the dealer i am not willing to pick the car up and pay the balance until the hip marker is removed or there is a letter in place from the finance company saying they hold no interest in the car and the HPI marker WILL be removed...Sound like I'm covered then? Should be plenty of comeback as I'm buying via a dealer i would have thought :/