What to do when selling a car to a trader

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Selling your car to a trader is a big step, and figuring out the best way to do it is important. If you want to make a quick sale, selling your car to a motor trader might be a good choice.

Selling to a trader involves specific steps that ensure everything is done right and you're no longer responsible for the car by the end of the process.

This blog post will walk you through what you need to do to sell your car to a motor trader smoothly. We'll cover how to tell the DVLA about the sale, fill out the right parts of the V5C document, give the correct paperwork to the trader, and wait for a confirmation letter from the DVLA. Following these steps will help make your car sale quick and worry-free.

Key Points

What should I do when selling my car to a trader?

Inform the DVLA 

Make sure you have the vehicle's logbook (V5C logbook) to hand. This document proves you're the car's registered keeper and contains essential details needed for the sale.

When selling to a trader, you must fill out specific sections to inform the DVLA (Driver and Vehicle Licensing Agency) that you've sold the vehicle, letting them know you’re no longer liable.

Selling your car to a motor trader involves some legal steps to make sure everything's done correctly. The DVLA needs to know when you're no longer the car's owner. This is important to ensure you're not responsible for what happens with the car afterwards, like road tax or other obligations.

The DVLA has made it easy with its online service. You can quickly inform them about the sale of your vehicle, ensuring the vehicle registration is updated promptly. This service is straightforward and saves you the hassle of paperwork.

Why notify the DVLA?

When you sell your car, the last thing you want is to still be on the hook for its road tax or anything it's involved in after the sale. Informing the DVLA ensures that the vehicle registration is updated to show the motor trader as the new owner. This change also reassures prospective buyers about the vehicle's legal status and history.

Clear outstanding finance before selling your car to a trader

If your car has outstanding finance, it’s an extra step you need to take care of before handing over the keys. Let's break down this process into simple, easy-to-follow steps.

1. Understand your finance agreement

First, you need to get a clear picture of your finance agreement. Check how much you owe and consider the terms of settling your finance early. This information is crucial for planning the next steps accurately.

2. Get a settlement figure

Contact your finance company and ask for a settlement figure. This is the amount you need to pay to clear your finance. Ask how long this figure is valid to ensure it aligns with your sale timeline.

3. Plan to settle the finance

Once you have your settlement figure, you need to decide how to pay it. If the sale of your car covers the settlement amount, you might arrange to pay off the finance as part of the sale process. If not, you'll need to cover the difference yourself.

4. Inform the trader 

Honesty is key. Inform the motor trader or prospective buyer about the outstanding finance and your plans to settle it. This transparency builds trust and ensures everyone is on the same page.

5. Finalising the sale

After settling the finance, ask for a confirmation letter from your finance company. This document is important for your records and future references. It proves you’ve cleared the finance, and the car is now yours to sell.

6. Update the motor trader

Once everything is settled, update the motor trader on the situation. Handing over a car free of finance makes the sale smoother and quicker for both parties.

Sell your car easily with Sell 2 Swansway 

If selling your car to a trader isn’t working out, let Sell 2 Swansway simplify it all for you. We aim to remove the stress from selling your vehicle so you can quickly and efficiently turn your car into cash.

Sell 2 Swansway is the most convenient option when selling your car, promising a fair and competitive offer for your car. Our experienced team is here to guide you through every step, from providing a fair valuation to handling all the paperwork ensuring your car selling journey is as seamless as possible - we’ll even settle finance on your car!

Sell 2 Swansway is a reliable, efficient, and stress-free choice for selling your car. Reach out today to start your easy car-selling process. With Sell 2 Swansway, turning your car into cash has never been easier.

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Holly Harris

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