The need for money or need for venture capital is usually the reason many people use to sell their cars. However, what if the car you want to sell is a car that is taken on credit? Can it be sold? Never heard of take over credit. Generally, people rarely take over credit because the use of the car is still needed for daily needs. But, if conditions force, inevitably take over credit is done as a solution.
By definition, take over credit can mean that the buyer will take over the remaining debt or credit from the seller so that the seller has no further obligation to pay the installments because they have been transferred to the buyer. Or in other words, the buyer continues the installment payment from the seller’s car.
Understand the Proper Take Over Conditions
Before taking over a car, there are a number of things that need to be considered in relation to applicable legal provisions. Do not let because of your ignorance to take over credit under the hand or without involving a car leasing company.
What is meant by underhand credit take over? Underhand credit take over is an activity carried out by the debtor in an effort to transfer his credit payment obligations to another party, but without the knowledge or involvement of a leasing company. This is of course categorized as unlawful acts. Because the car used is a guarantee of debtor debt on leasing.
If problems arise later due to underhand credit take over, the leasing company can sue the first buyer recorded in the lease as a debtor to provide compensation. Therefore, do take over credit safely and in accordance with applicable procedures.
Take Credit Over Through Banks / Leasing
A safe step that can be taken in taking over credit is to do it through a bank or leasing party. In the process, you contact the bank or leasing to convey the intention of take over credit. Later the bank or leasing will do an analysis in advance of the buyer’s financial ability related to its ability to pay the remaining installments.
If the results of the analysis are far from what was expected, the application for credit take over will definitely be rejected. Conversely, if the buyer meets the requirements, take over credit can be done with a number of conditions and fees.
These credit take-over costs usually include notary fees or insurance. If it has been agreed and made payment of these costs, the new debtor can replace the position of the seller (the first debtor). Then the next steps that need to be taken have been determined by the bank or leasing.
Tips on Take Over Car Loans that are Safe and Profitable
If you plan to take over credit, there are some important things that need attention. Some of these include:
1. Make sure the buyer does not enter into the category of bad credit
If you act as a buyer, before taking over credit, make sure the seller (old debtor) does not experience problems in credit payments. You must be vigilant regarding the possibility of bad credit or late payment penalties for arrears in advance of payment.
If it turns out there is still a problem, try the person to solve it first all the obligations that are borne. If there are unpaid installments, ask to be paid first. If there is a late fee on the installment payment, ask to pay the penalty first.
2. The Importance of Completing Administration to Avoid Violation of the Law
After checking the seller’s credit history, the next step to take is to pay attention to the completeness of administrative documents. Check carefully. Don’t miss any documents. The completeness of administrative documents that have to do with car loans must be your top priority.
3. Understand the Process and Method of Credit Calculation
Make anticipatory steps by calculating credit and credit replacement costs. If the seller gives a price that is too high or out of the ordinary, you as the buyer must be vigilant. Always try to take over credit at a fair value so that you as a buyer do not feel disadvantaged.
Take Over Credit Can Be the Solution to Your Financial Problems
Car credit over time is now starting to be used as an option to solve financial problems. For sellers, the need for fast funds is usually the main reason for taking over credit. As for buyers, taking over credit is an opportunity to get a car without buying it in cash.