How to sell your financed car: a step-by-step guide

  • Step 1: Contact your finance company

Tell your finance company that you’re considering selling your car, and ask them to send you written confirmation of the settlement figure.

  • Step 2: Obtain an up-to-date valuation for your car

Once you have the settlement figure, you’ll need to know if the proceeds of selling your car will cover the outstanding finance or whether you’ll have to cover the shortfall.

You can use our instant quote page to get an accurate valuation for your car.


  • Step 3: Prepare your car with finance for sale

Complete this pre-sale checklist to ensure you get as close to full valuation as possible:

  • V5C logbook document for proof of ownership
  • Service history
  • MOT certificate
  • Spare key to ensure you receive full valuation
  • A full valet to ensure it’s clean inside and out
  • Fix any minor repairs like scratches and surface damage

With so much to look forward to over the course of 12 months, perhaps you’re casting a casual eye around searching for great deals. However, it may be the case that you have a car on finance. And while you’re still paying off the finance on your existing car, these incredible deals on great new and used cars seem like they may be out your reach for the time being…or are they?

If you are thinking about selling a car with finance outstanding, then you might be wondering what your options are. Here, we’ll shine a light on the topic of settling and selling a vehicle under finance, clearing up any misunderstandings along the way.

Can you sell a car which is under finance?

Although the terms of your car finance deal may seem as though you’re locked in, the typical 5-year period you have to pay it off isn’t as ironclad as you might think. The short answer to the above question is: yes, you can sell your car when it’s under finance.

It’s surprisingly quick and easy, though there are things to watch out for and processes that need to be followed. It’s important to remember that even though your name is on the paperwork, the car is still owned by the lender until you complete the repayments.

What is a car finance settlement figure?

A settlement figure is simply the amount you continue to owe on the sum you have borrowed, minus the remaining interest. If you’re planning on selling the car you have and it’s on finance, then you’ll need to know this figure.​

Will Metro Vehicle Sales settle my finance?

Another short answer: yes. This is a popular process for people looking to upgrade or change their car before paying off the total outstanding finance. The VAST majority of cars which are part exchanged/sold whilst still on finance move seamlessly through this process as we do all the provenance checks, value the car, obtain the settlement figure and clear the finance. A car dealership is likely to have greater experience in this process than a private seller, so we are willing to take on the extra responsibility.

Once this process is complete, we either return any surplus to the you or use the equity as deposit on a new transaction. So, if you’re looking to part exchange or sell a vehicle with outstanding finance – approaching us is likely to be the simplest and most cost-effective option.