Overhaulin'

How do we sell this car?

The car has only $11,000 left on it. My friend would rather just sell it and but another car, cash, instead of continuing the monthly payments. How do you go about selling a car with payments still on it? Do you sell it for the remaining $11,000 and just pay the car people (f.y.i. it's with Drive Time) with that money? Or does the new owner HAVE to pay off the car in payments to the car people? The car is in PERFECT condition. No problems or anything like that and it's an 2004 so it's fairly new. Thanks!! ; )

Public Comments

1. No one will buy a $11,000 car from a private dealer, whether it is in immaculate condition or not, not when they can be a certified preowned with a warrety for that amount of money
2. Find out what the car is worth, if you were to sell it. Use www.kbb.com and www.nadaguides.com to get the value. If the value is less that what you still owe on your loan, then you are "upside down" and will owe extra money to pay off your loan to get the title to give to the new buyer. Your loan company holds the title to the car. It is to them that you owe the money. Pay off the loan, get the title, and you can do what you want with the car. I you haven't paid off the loan and you find a buyer, get the buyer to go with you to your loan company to directly pay off your loan (possibly with extra cash from you if you're upside down) so that he can get the title directly. He won't trust you to take his money and send him the title later.
3. The buyer has nothing to do with Drivetime. Your friend does. In order to sell the car and transfer ownership to another person, the loan would have to be paid off at Drivetime. Your friend will most likely not be able to sell the car for the total amount owed, and would have to pay the difference out of his/her pocket.