Can You Transfer Your Existing Car Loan to Someone Else?

Are you planning to transfer your existing car loan to another individual? The idea may sound alluring, but the actual process isn’t as straightforward as you think! If you cannot pay off the monthly instalments, you should talk to your lender and come up with a solution instead of thinking of transferring your loan to someone else. But if you have made up your mind to do so, consult with your broker for car loans in Adelaide and let them figure out whether you can do it or not. The answer to this concern is tricky, and it’s tough to get a solution for it. However, if you are reading this blog, you may get some information on the same along with a solution.

Is a Car Loan Transferable?

General books say that you cannot transfer your existing car loan under your name to someone else. Most car loans have a clause stating that you are the one who is only responsible for paying off the entire loan amount. There’s no clause so far stating that you can transfer it to another individual. Lenders often do background and creditworthiness checks to grant a loan and ensure that the borrower has the potential to repay the entire loan amount with ease and without fail. It is unlikely for them to provide a loan to someone who is incapable of paying it off. So, if your lender has granted you a loan and you have paid some of its instalments so far, it means that you are capable of repaying the remaining ones as well.

Is It Possible to Swap Your Car Finance to Another Vehicle?

When you sign a contract with your lender for a car loan, you agree with the use of the funds to buy a specific car. So, once you purchase it, the repayment period starts for you. In fact, it gets explicitly tied to the vehicle. This means that you cannot simply transfer your existing car finance to another vehicle. If you haven’t paid off the entire loan amount but want to buy a new car, you can opt for a trade-in to sell the existing one that’s under finance. However, make sure to check your car’s value offered by the buyer and ensure that it covers the remaining cost of your car loan. This is an option worth considering if you liked another vehicle and want to purchase it while repaying your current car loan. If you have problems with repaying your existing car loan, it is recommended that you have a chat with your car loan broker in Adelaide. If you are out of ideas, they can provide you with some to ensure that your loan-repaying problems are resolved and that you are able to do what you actually want.

Click Ezy Finance is Always Ready to Help!

If you have taken out a car loan from Click Ezy Finance, our team is proactively ready to help with your repayment concerns or issues. Not only that, but we can also provide you with the best assistance with vehicle loans for your future applications and repayments. So, contact us now at 0451575956 and feel free to ask us anything.