How to Sell a Vehicle That Is Still Under Finance: A Simple Step-by-Step Guide

Selling a car that still has finance owing can seem complicated, but it doesn’t have to be. If you need to sell a car under finance in Australia, the process is much easier than most people think.
Whether you still owe a small amount or a large balance, you can absolutely sell your vehicle. You simply need to follow a few clear steps to ensure the finance is properly paid out and the ownership transfer is clean and legal.

Here is everything you need to know.

What Does “Selling a Vehicle Under Finance” Mean?

When your car is under finance, it means a bank or finance company still has a legal interest in the vehicle.
In Australia, this is recorded on the PPSR (Personal Property Securities Register).

To sell the car, the outstanding amount must be paid out so the vehicle is no longer “encumbered”.

You can check encumbrance details on the official PPSR website.

The good news: you don’t need to do this alone; we manage the entire payout process for you.

The 3-Step Process to Sell a Vehicle That Is Still Under Finance

1. Bring Your Finance Details

To handle the payout correctly, you will need to bring:

• Your ID (driver’s licence or passport)

• Your vehicle registration

• Your logbook (if available)

• Payout letter from the finance company

Many people think they can’t sell a car under finance, but as long as the payout is handled correctly, it is completely legal.

2. We Inspect the Vehicle and Make You an Offer

After a quick on-site inspection, we give you a fair and competitive offer based on:

• Condition of your vehicle

• Current market value

• Service history

• Demand for your model

If you accept the offer, we proceed to the payout stage.

3. We Pay Out the Finance and Transfer the Balance to You

This is where we make the process simple:

✔ We pay your finance company directly
We transfer the payout amount to clear the loan.

✔ You receive the remaining balance
If our offer is higher than your payout amount, you receive the difference instantly.

Example:
Offer for your car: $15,000
Finance remaining: $8,000
You receive $7,000 immediately

If your payout is higher than our offer

No problem, you can still sell the car.

You simply pay the difference:

Example:
Offer for your car: $10,000
Finance remaining: $12,000
You pay $2,000 to clear the loan

This clears the encumbrance and allows the vehicle to transfer legally.

Why Sell Your Financed Vehicle With Us?

✔ We handle the entire finance process — no paperwork, no calls, no stress
✔ Instant payout — you receive your balance the same day
✔ Fast and transparent — no surprises, no delays
✔ Upgrade or change your vehicle anytime — no need to wait until your loan is fully paid off

Documents Needed to Sell a Financed Vehicle

• Vehicle registration (Rego)

• Valid ID

• Payout letter

• Logbook or service history (optional but helpful)

Final Thoughts

Selling a vehicle that is still under finance doesn’t have to be stressful or complicated. With the right support, the process can be quick, transparent, and hassle-free.
At We Want Your Car WA, we simplify everything, from arranging the finance payout to completing the paperwork and ensuring you receive your balance immediately.
With us, you can sell a car under finance confidently and without any delays or surprises.