Do you plan to sell your car? Here’s a guide to the different methods and options to sell it, and how each could affect the amount you’ll pay. Also, don’t forget our suggestions about the ideal time to sell your car and the best way to go about it if there’s remaining outstanding financing.
What is the value of your car worth?
The first step to selling your vehicle is to determine the value of your car. be worth.
It’s important to remember that these are only estimations and there are several other factors which could affect the value. For example, damages, the quality of the tires, the service record and the length of time left in the test.
There are other aspects you should consider when making a decision on the value of your car.
For example, it might take longer to negotiate the most affordable price for your vehicle. Therefore, if you’re looking to raise quick cash, you might be interested in selling your car at a less.
Selecting the most effective method to sell your vehicle
There are a number of different options for selling your car. The best one for you will depend on how much you want to get for the car, how much time you’re willing and able to devote to it and if you want to buy another vehicle.
Selling privately could mean that you get more for your car than you could from dealers. However, it could be time-consuming.
If you want another car right away, swapping with a dealer might be a better option.
This means that if the car was worth a price of £5,500 privately, you would lose at the very least £500 when selling it to an agent.
Selling a car to an individual dealer
If you’d like to get a new car immediately, an exchange deal with a dealer may seem like the easiest option.
It’s likely to cost you less it than through private sales, but you’ll save the hassle and expense of advertising , and managing enquiries testing, viewings and inquiries.
The value of your car’s exchange value is likely to be slightly higher than the amount you’d receive if you sell your vehicle outright to a dealer.
However, the dealer may not be prepared to negotiate about a deal-in-trade price.
If you don’t need a new car right away it is possible that you are in a position to sell it your car directly to the seller. Although this could be a quick process however, you’re not likely to receive the highest price.
Selling a car privately
Selling your car privately could take a long time, but you could get a better price.
What you’ll need to complete:
Advertise your car to potential buyers – for example, a ‘For Sale’ sign on the car’s windows or shop or classified ads in local newspapers or ads on websites such as Gumtree, PistonHeads, AutoTrader and Motors Or, you might be able to locate buyers among your people you know or with their friends on social media such as Facebook, or at work.
Make sure you describe your vehicle in a correct manner in your advert and you can prove you’re its legally owned.
Answer promptly any calls or emails from prospective buyers.
Arrange and be present at viewings and test drives.
Arrange a safe way of getting paid for the sale.
Car buying sites online
There are numerous websites for car buyers online which will take the work out when it comes to sell my car. You enter your car’s details on their website, including mileage and age to get a valuation then bring it to a local dealership to be evaluated.
However, Which? claims “You’re probably going to get an increase in price when selling the car, or sending it straight to auction. In our undercover research, we found 5 out of 6 participants would have been better off selling their car to dealers – in one case, by over £2,000.”
If you decide selling your vehicle on the internet, be aware that generally the valuation online is subject to physical inspection of your car. If the inspection finds defects, the final amount could be less. There is also the possibility of having pay an administration cost for the service.
Auctioning off a car
Auctioning a car can be quick and fairly hassle-free.
There’s no way to guarantee that your car will reach the price it was originally set at, so you might end up getting less than you would through other options for selling. If it doesn’t get to the price you set, you’ll have to take it back to the dealer and try again with another offer.
The majority of auction buyers are part of the motor trade. If you’re fortunate and can attract a private buyer who is willing to pay more for your car than a dealer would.
The largest auction houses for cars like British Car Auctions and Manheim have branches throughout the country and you could prefer using an independent auctioneer in the area closest to your home.
You could also check out auction sites online like eBay however, you’ll need to do a lot more of the work of creating your advert and answering questions. If your vehicle is sold to the highest bidder, they pay for it immediately and the auction company provides you with the amount of the sale minus its commission. It can be up to 10% of the sales price.
What can I do to get rid of my vehicle with outstanding financing?
If you’re selling a car with finance still outstanding there are two steps to be done before you are able to legally transfer it to a buyer:
Inform the finance company and request the “settlement figure” they’ll need from you in order to repay your loan in full.
Pay off the settlement figure and any early cost of repayment as well as any fees for administration that the lender could charge.
However the fact that you have to pay off your loan early might end up costing you less than the rest of your payments would have.
Bear in mind it’s usually difficult to sell a car with outstanding credit.
The finance provider will have registered your car on the HPI or Experian databases when you took out the finance plan.
Before buying a second-hand car dealers, dealers and most sensible buyers can check these databases to ensure there’s not a loan outstanding on the vehicle.
You can arrange a car history or data test with companies like the AA, RAC, HPI Check and other companies at a cost of around £20.
Do I have the ability to part-exchange my vehicle with outstanding credit?
The same principles apply as when you’re selling a car with outstanding financing.
You should contact your finance company for the “settlement figure” and then pay it together with any fees and administrative charges prior to part-exchanging.
Be aware that the majority of dealers are trying to earn a profit when they sell your car So the price you pay for part-exchange may be less than the price you’d be capable of getting selling privately. But it’s far easier and more efficient to offer a part-exchange rather than to list, do inspections and test drives to sell a automobile by yourself.
Refund your vehicle tax receive an amount back
Sellers and buyers can no longer transfer tax that is already paid after the sale of a vehicle.
In the end, you’ll need to tax the car yourself . the old owner can make an application for an exemption.
However, new tax is now retroactive to beginning of the month and tax refunds start at the beginning of the next.
That means that if you sell your vehicle in the middle of the month, you will have to pay tax twice.
If you make an application for SORN (Statutory Off Road Notification) before the end the month, you will be able to not be taxed on the car you already own.
However, you’re liable for a fine if you then travel on roads that aren’t taxed. This could make it tricky if a buyer wants to drive a test-drive of your vehicle.
Disposing of your car
If your vehicle is approaching it’s end lifespan and it is no longer economically viable to maintain, think about giving it away to charity or scrapping it.
Negotiating when selling your car
If you’re planning to sell your car privately or to a dealer the buyer is likely to be willing to negotiate the price. Don’t get surprised – check out our negotiating tips below so you know how to use to maximize the value of your vehicle without losing the price.
Beware of fraudulent buyers
Selling your vehicle privately could expose you to thieves posing as buyers.
Here are some recent scams to be watchful for:
A person posing as an auto exporter, and asking for a transfer of’shipping charges’ to overseas ‘buyers’.
Phishing emails from bogus websites for selling and buying cars asking for login details and payment information for your card.
Text messages informing you of an interest in your car only to be charged a premium rate if you respond by text or phone.
A buyer who pays by cheque and gets the car before the cheque is cleared, but the cheque bounces a few days later because it’s a forgery or fake
A person who offers to purchase your vehicle unseen, and who will pay the entire amount via PayPal. You’re then informed that you’ve overpaid and requested to refund the difference through a different payment method that is online. After this the scammer arranges for their original PayPal transaction to be reversed and you are unable to recover the money you’ve “returned’.
After you have sold your car
After you’ve sold your car it is important to notify the DVLA that you no longer are the owner.
You and the person whom you’re selling to complete and date the pertinent section on the V5C and forward it to the DVLA.
Make sure to pay off any loan that’s in the balance on your car as well as to inform your insurance company know that you’ve sold the vehicle.
How do I dispose of an old car
There’s a point in every car when it’s no longer practical or safe to prolong its life. Furthermore, if the vehicle is not roadworthy you might be liable for points on your driving license or a fine. If your vehicle has reached the end of the road then read this article to find out how you can get rid of it.
If you decide to dispose of your vehicle there are a few things to consider before starting.
Take the paperwork out. When a car is scrapped and the Driver and Vehicle Licensing Agency (DVLA) must be notified by means of a Certificate of Destruction (CoD). The CoD can only be issued by scrap car recycling centres that are known as Authorised Treatment Facilities (ATFs). If you do not, you’re still accountable for the car and could be fined.
Keep your personal details safe. Customers in England and Wales have to prove their identity when selling their vehicle as scrap. They’ll ask you to show photos of ID and evidence of your address, like the utility bill. Your personal information will be retained for three years, so make sure that you’re sharing it with a trustworthy organization.
Reclaim insurance and tax. When you’ve had your vehicle taken away at an ATF and an ATF CoD is issued in the meantime, the DVLA will pay back any months of the remaining car tax (officially called VED, however it’s sometimes referred in other ways as road taxes). It is also recommended to inform your car’s insurance supplier and ask for a refund,or transfer any money you have received to another insurance policy.
Scrapping an automobile
The majority of people decide to scrap their cars after they have a breakdown or fail an MoT or require costly repairs, or find an owner.
Scrapping your car should be an option you choose to do if it’s damaged beyond repair, or you cannot find anyone willing to purchase it.
Keep in mind that unless your vehicle is in complete disrepair there’s a chance it’s worth something, which is why you shouldn’t be required to pay to have it removed.
Remember, the vehicle recycler (otherwise called an auto scrapyard, scrapyard, breaker or dismantler) might earn hundreds of pounds from your cast-off simply by selling some of its components, even if your vehicle isn’t more valuable than your scrap scrap.
If you decide to go ahead the car needs to be delivered into an ATF to be taken away for scrapping.
You’ll be then sent a CoD.
It’s illegal to dispose of your vehicle in any other place.
Scrapping your car will ensure it’s properly recycled without damaging the environment.
Prices for scrap cars fluctuate based on the model of the car, the region it’s collected in, whether it’s got any parts that are resalesable and the current market rates.
Rewarding Recycling and CarTakeBack are the official recycling partners for several motor companies.
All their scrap vehicle recycling centers have ATF licenses.
It is also possible to deliver it directly to a ATF If you’d prefer.
Donate your old car to a charity
If your old car doesn’t have much value or you don’t have the time to get it sold then why not give it to Charitycar
They’ll collect it free of charge and you’ll feel the comfort of knowing that the worth of your car is going to the charity that you prefer.
You could also consider giving away your car via Giveacar
If you decide to donate your old car it could be sold at auction or taken away for scrap.
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