End of PCP Options Query

[WarwickBoy]

Hi guys,

I'm approaching the end of a 3 year PCP and understand the options are

1. Pay the final payment to keep the car
2. Hand it back - where it is inspected, and may get additional charges for scuffed alloys etc.

It is well below to 10,000/year mileage and the "Web buy any car" valuation is actually above the settlement fee.

So, I am thinking of advertising on Autotrader it to sell it privately and if someone wants it and is willing to pay over and above the settlement fee (which I will of course keep private) is it possible/feasible to

• Get agreement from the new buyer for a purchase cost
• One funds are received from them, immediately settle with the finance company
• Pocket any difference as 'profit'?

The advantage of this is of course

• You can be sure that you have the settlement covered, and avoid any unforeseen surprises with option 2?

I was not sure whether this was a common approach. I do appreciate that if a buyer did a credit check they would see funds due on the car, but would suggest being transparent with them in this case. After all if they are happy to pay £X for the car, then they are getting what they are willing to pay for (the settlement fee for the PCP does not come into this).

This is my second PCP and the first time I have not done option 1) so any advice is appreciated.

I have sold 2 cars via Autotrader privately (see my contribution to a post on here about this) so am savvy to the process and possible pitfalls.

Any advice and guidance appreciated as ever.

WarwickBoy

 

[Jsmills]

There’s also option 3 which is probably most common. PX it in against a new car.

 

[Jsmills]

Should also say I’ve twice done your preferred option and paid off finance using buyers money.

 

[WarwickBoy]

Should also say I’ve twice done your preferred option and paid off finance using buyers money.

Thank you Jsmills, and good to know this is something you can do. I'll check with BMW Finance that the settlement can be done with a quick phone call, and funds transfer, and look to take this approach. If ultimately I don't get the price I want privately I can always hand it back and keep my fingers crossed