Jump to content
SAU Community

Recommended Posts

Hi Have Customer friend who has asked an question i dont really know so i thought id post it here for peoples ideas or opinions.

Story : customer has bought a vehicle Encumbered to Esanda finance knowingly as the seller has told them it will be paid out once funds have been recived for the sale of the car.

Now the car is still encumbered 4 weeks later and cannot contact the seller.

Question being he asked was what steps could someone do to recover funds or force the finance company to do some checking to release the vehicle as they would know where the seller was as assumption he was still paying the loan as it was attached to his morgage on his house. what other things could you do, are you protected in anyway.

I have been aware that if you insure the vehicle also and its crashed or writen off the monies dont come to you either it goes to the encumbered financee, so this is worring also if you crash. your hard ernt money goes to paying off the loan for the person you allready paid.

has anybody else been in this position ? and thoughts or help or even experiance would be good to know and help out other people in same position.

When buying an encumbered vehicle 1 would call the finance company give details and find out the payout then make a check to the finance for the remainder of loan and any left over would be another check to seller. this is the only way 1 should do it in the private market.

Link to comment
https://www.sau.com.au/forums/topic/331745-encumbered-vehicles/
Share on other sites

yes he should have had a cheque for the bank.. and rest for the owner.. doesnt he know where the previous owner lives.. should be on the transfer papers.. go confront him...

also the car would be against the loan.. not his house.. otherwise there would be no bank interest in the car...

Edited by .:: GimpS-R34 ::.

When you buy an encumbered vehicle, you need to get a letter from the seller's finance company with the amount of funds remaining on the loan. Pay a cheque to the finance company to, and then whatever is remaining of the price, you pay to the seller, then you have yourself a vehicle that is not encumbered.

Your friend should have acquired a letter from REVS for his own protection, but if the vehicle is encumbered and he knew that before buying the vehicle, why didn't he pay out the finance company for the loan instead of paying out the owner???

i'm guessing he paid the money to the person out of good will thinking that the seller would be honest and pay it straight off.

as for protection for the buyer, unless he got the seller to sign the reciept saying that the car was encumbered and that the seller would pay off the loan then there isn't much he can do. he would have to take the guy to court if the car was reposessed, and that would be a while after the car was repo'd so he'd be out of pocket for a while, and he may not even get any money back.

any way i will try help out with legal action thruogh a solicitor and see what we can come up with. any other ideas are more than welcome.

will see if processing a few legal letters to his house will provoke a response at least as far as we know his GF and 2 kids still lives there for now.

  • 2 weeks later...
any way i will try help out with legal action thruogh a solicitor and see what we can come up with. any other ideas are more than welcome.

will see if processing a few legal letters to his house will provoke a response at least as far as we know his GF and 2 kids still lives there for now.

Yes, if the "Sympathy" button won't work, it's time to play "Hard-ball".

If the seller wanted to play "Scammer", this is exactly how one would behave.

  • 3 weeks later...

Basically he is screwed. He needs to have the old/current owner get a payout figure from the financier. Basically when he paid for the car he should have paid the o/s amount to the financier and the rest to the old/current owner.

If he's in the navy, I'd get in touch with them.

They don't take too kindly to their own beign such flamin mongrels.

His CO may have a quiet word in his ear and suggest he pay back the money to the finance company.

Basically he is screwed. He needs to have the old/current owner get a payout figure from the financier. Basically when he paid for the car he should have paid the o/s amount to the financier and the rest to the old/current owner.

that pretty much sums it up.

the car didnt belong to the guy in the first place, it was the financier's. when you secure a loan with property it then becomes theirs till its paid off.

on the other hand, if your friend had a bill of sale which said "Seller warrants that it is the legal owner of said motor vehicle, that said motor vehicle is being sold free and clear of all claims and encumbrances, that Seller has full right and authority to sell and transfer same, and will protect and indemnify Buyer from all claims adverse thereto". then its a case of fraud and would have more of a chance of recovering the car/money.

i've got a standard bill of sale which pretty much covers you for anything dodgy if anyone is interested.

thanks for all the replies but more to the fact ... has any one tried to sue the seller for illegaly gaining funds for financial gain. i believe its possible to do it,

if anyone has done this let us know your outcome.

regards, Phil

If he's in the navy, I'd get in touch with them.

They don't take too kindly to their own beign such flamin mongrels.

His CO may have a quiet word in his ear and suggest he pay back the money to the finance company.

x2

ADF (Australian Defence Force) is a small circle...

If it's coming from his CO, it ain't gonna be a suggestion!

Australian government agencies don't like bad press or pissed off civies....

J.

  • 2 weeks later...
x2

ADF (Australian Defence Force) is a small circle...

If it's coming from his CO, it ain't gonna be a suggestion!

Australian government agencies don't like bad press or pissed off civies....

J.

Yeah, if you get nothing from the Navy, call ACA and tell them the Navy is harboring conmen and fraudsters.

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now


  • Similar Content

  • Latest Posts

    • Hi guys, has anyone either purchased or built themselves a rotisserie for their car before? I can only just justify the need for one hence why I should just make one but at the same time, if I make one I can kiss another 4 weeks of potentially productive car working time goodbye because I'm building a bloody rotisserie....  I mainly want it for the application of the body deadener.  Cleaning the old stuff off, priming and then colour over the deadener doesn't worry me, it's just the application using the Schutz Gun that I feel would achieve a significantly better finish painting it side on and keeping the Schutz Gun upright.  I don't think they would work well on the side let alone almost upside down for some areas.  If the product I use (Terosun, etc) could work through a HVLP ok then it might be ok to apply without the rotisserie.   I can get one of these style ones for about $1200 which is pretty good value-     I reckon if I made one it would cost around $500 but it's more the time that it would take is more of a killer than the cost.  They look to hold their value pretty well second hand so I could always sell it after using it and realistically only lose $200-$300 at worst.  Or keep it and buy another project when this one finally sees the light of day... Anyone selling one...? Cheers!  
    • While it is a very nice idea to put card style AFMs into the charge pipe (post intercooler, obviously), the position of the AFM and the recirc valve relative to each other starts to become something that you really have to consider. The situation: The stock AFM is located upstream the turbo, and the recirc valve return is located between the AFM and the turbo inlet, aimed at the turbo inlet, so that it flows away from and not through the AFM. Thus, once metered air is not metered again, neither flowing forwards, or backwards, when vented out of the charge pipe. When you put the AFM between the turbo outlet and the TB, there is a volume of pressurised charge pipe upstream of the AFM and there is a volume of pressurised pipe downstream of the AFM. When the recirc valve opens and vents the charge pipe, air is going to flow from both ends of the charge pipe towards the recirc valve. If the recirc valve is in the stock location, then the section between it and the TB doesn't really matter here - you're not going to try to put the AFM in that piece of pipe. But the AFM will likely be somewhere between the intercooler and the recirc valve, So the entire charge pipe volume from that position (upstream of the AFM, back through the intercooler, to the turbo outlet) is going to flow through the AFM, get registered as combustion air, cause the ECU to fuel for it, but get dumped out of the recirc valve and you will end up with a typical BOV related rich spike. So ideally you want to put the AFM as close to the TB as possible (so, just upstream of the crossover pipe, assuming that the stock crossover is still in use, or, just before the TB if an FFP is being used) and locate the recirc valve at the turbo outlet. Recirc valve at the turbo outlet is the new normal for things like EFRs anyway. In the even of a recirc valve opening dumping all the air in the charge pipe, pretty much all of it is going to go backwards, from the TB to the recirc valve near the turbo outlet. But only a small portion of it (that between the TB and the AFM) will pass through the AFM, and it will pass through going backwards. The card style AFMs are somewhat more immune to reading flow that passes through them in reverse than older AFMs are, so you should absolutely minimise the rich pulse behaviour associated with the unavoidable outcome of having both a recirc valve and an AFM in the charge pipe.
    • Yep, in my case as soon as I started hearing weird noises I backed off the tension until it sounded normal again. Delicate balance between enough tension to avoid that cold start slip and too much damaging things.
    • I'm almost at a point where I feel like changing the alternator. Need to check the stuff you mentioned first though.
×
×
  • Create New...