Buying a dirt bike with finance owing on it.

[Scaf]

Hey all after some quick advice.

If you buy a motorbike (dirt bike - not registered) with money owning on it, will the loan be transferred to the new owner?

[Lump]

yes you will wear the debt as well

[Scaf]

Even though there are no legal documents attached to the sale? Handed over cash, wrote a receipt and took the bike.
All he knows is my first name.

Have to call the finance company tomorrow, but just thought id ask to see if anyone has been in the same boat.

[SSICK]

Im interested to know how it gets transferred too. ie: how does the finance company know its been sold?

[jmp]

Perhaps it was an unsecured loan?

[-Josh-]

I am guessing that the dirt bike has a security interest registered against in on the Personal Property Securities (PPS) Register.
http://www.ppsr.gov.au/AbouttheRegister/Consumers/Pages/default.aspx

[DRKWRX]

wouldnt it only get transfered if it was registered??

[Riggs]

VIN will be recorded in loan, no way of them tracking you down if he has none of your details, however, if you take it to a shop to get work done the first thing they do on any mx bike is search the vin. If something is suss the won't touch it.

[rodent]

What register are they searching if it's not a licensed vehicle?

[TJ]

What register are they searching if it's not a licensed vehicle?


I am guessing that the dirt bike has a security interest registered against in on the Personal Property Securities (PPS) Register.
http://www.ppsr.gov.au/AbouttheRegister/Consumers/Pages/default.aspx

..

[Scaf]

Thanks guys.

So it turns out the finance will stay in his name, however if he doesn't keep up repayments they will come hunting for their bike back.
Not worth the possible risk according to a lawyer, the guy is being cool about it though so may come to some sort of agreement.

A warning to anyone buying a motorbike, always check if finance is awing or it could come back to bite you.

[mr_mike]

When you agree to buy the bike get a non negotiable cheque made out for the balance owing to the finance company. You then give that cheque directly to them, anything left over from the sale the previous owner gets.
That's if it's a secure loan if it's a personal loan don't worry about it as finance is attached to seller not the bike.

Btw why the hell you buying a 2nd dirt bike that had finance against it, there is literally hundreds of bikes available that are clean title