Exporting financed car from US to Canada- advise please...

[BZ Mom]

Hi! Anybody who know of a financing company that would allow me to bring my car to Canada? I just bought my car last year thinking I can bring it to Canada. Based on what I have read from the forum and from the website, I need the certificate of title which I don't have yet as the car is still under financing. In lieu of the title, I should present a letter from the financing institution allowing me to bring the car to Canada. But it seems like the bank will not give me the consent. They want me to pay the outstanding balance which is still big, needless to say, I cannot afford to. I am thinking of having my car refinanced by a company that would give me such consent.

Would appreciate any inputs/advise on this.

 

[max_lee]

Hi! Anybody who know of a financing company that would allow me to bring my car to Canada? I just bought my car last year thinking I can bring it to Canada. Based on what I have read from the forum and from the website, I need the certificate of title which I don't have yet as the car is still under financing. In lieu of the title, I should present a letter from the financing institution allowing me to bring the car to Canada. But it seems like the bank will not give me the consent. They want me to pay the outstanding balance which is still big, needless to say, I cannot afford to. I am thinking of having my car refinanced by a company that would give me such consent.

Would appreciate any inputs/advise on this.

Its very difficult for any bank within the US to finance your vehicle and allow you to take it to Canada as once they give the letter and the title then they lose the claim of the vehicle which literally means you can sell the vehicle in Canada with the Canadain title without the knowledge of the financing company. Your best bet would be to look out for any Canadian Bank operating in the US and check with them if they could refinance your vehicle and you could put them as lien holder on the Canadian title of your car, that's my 2 cents.

Max

 

[BZ Mom]

Its very difficult for any bank within the US to finance your vehicle and allow you to take it to Canada as once they give the letter and the title then they lose the claim of the vehicle which literally means you can sell the vehicle in Canada with the Canadain title without the knowledge of the financing company. Your best bet would be to look out for any Canadian Bank operating in the US and check with them if they could refinance your vehicle and you could put them as lien holder on the Canadian title of your car, that's my 2 cents.

Max

Thanks for the input, Max. I agree with you, it's really difficult.

I might just sell it and pay-off the negative equity.

 

[ingegarcia]

I was trying to do the same thing but I couldn't. I talked to the car dealer and the financial institution and they told me to buy the car, etc. Pretty much I returned the car and had to pay the outstanding balance.

 

[BZ Mom]

Yeah, that's exactly the same thing that would happen to me. Thanks, ingegarcia!

 

[BZ Mom]

I was trying to do the same thing but I couldn't. I talked to the car dealer and the financial institution and they told me to buy the car, etc. Pretty much I returned the car and had to pay the outstanding balance.

Did you sell it back to the dealer?

 

[ingegarcia]

I returned the car. The dealer basically sold the car and I had to pay the difference to the financial company. BTW since the dealer had to sell the car first I had to wait for a couple of months until I received the bill for the difference...
I actually was lucky and my debt was significantly reduced by a couple of thousands of dollars due to the economic crisis...

Did you sell it back to the dealer?

 

[BZ Mom]

I returned the car. The dealer basically sold the car and I had to pay the difference to the financial company. BTW since the dealer had to sell the car first I had to wait for a couple of months until I received the bill for the difference...
I actually was lucky and my debt was significantly reduced by a couple of thousands of dollars due to the economic crisis...

I see, so I need to return the car to the dealer and then wait for them to sell it and then pay whatever is the difference between the outstanding loan balance and the proceeds of the sale of the car (minus of course any expenses that the dealer may charge). Is my understanding correct?

Thanks so much for your response. I appreciate your inputs.

 

[ingegarcia]

Re: Exporting financed car http://www.canadavfrom US to Canada- advise please...

The exact form you need to sign at the dealer is voluntary car repossession... unfortunately your US credit will be affected but if you pay on time your credit will be cleared up....


I hope this help

I see, so I need to return the car to the dealer and then wait for them to sell it and then pay whatever is the difference between the outstanding loan balance and the proceeds of the sale of the car (minus of course any expenses that the dealer may charge). Is my understanding correct?

Thanks so much for your response. I appreciate your inputs.

 

[BZ Mom]

Re: Exporting financed car http://www.canadavfrom US to Canada- advise please...

I hope this help

Definitely, this is a big help for me! Thanks a lot for the info.

By the way, would there be a big difference in the amount that I have to pay if I sell the car to the dealer (instead of voluntary repossession) and pay the negative equity?

Thanks again...

 

[ingegarcia]

Basically there is no "returning a car" so you default in your car loan voluntarily and sign a voluntary repossession form. In this way the dealer can take your car and sell it, etc.
Other way could be to pay your car in full and try to sell it back to the dealer or talk to the dealer and ask for alternatives if you cannot pay your car in full.
In my case I wasn't able to buy the car to the dealer because I did not have all the money, they did not give me too many alternatives and I had my flight a couple of days later.
Still after the dealer sold the car a couple of months later, and through several negotiations with the financial company I managed to pay the rest of the money in full.

 

[BZ Mom]

Basically there is no "returning a car" so you default in your car loan voluntarily and sign a voluntary repossession form. In this way the dealer can take your car and sell it, etc.
Other way could be to pay your car in full and try to sell it back to the dealer or talk to the dealer and ask for alternatives if you cannot pay your car in full.
In my case I wasn't able to buy the car to the dealer because I did not have all the money, they did not give me too many alternatives and I had my flight a couple of days later.
Still after the dealer sold the car a couple of months later, and through several negotiations with the financial company I managed to pay the rest of the money in full.

Got it! Thanks for your patience in replying to my questions.

Are you still in the US when you negotiated with the financing company?

 

[ingegarcia]

no problem ;D
No, I negotiated my debt from Canada.... I gave my new Canadian employer's address and I kept my US virtual number. I still use the number because we left a bunch of friends in US and we use to talk to them frequently...

I hope this info helps...

 

[BZ Mom]

no problem ;D
No, I negotiated my debt from Canada.... I gave my new Canadian employer's address and I kept my US virtual number. I still use the number because we left a bunch of friends in US and we use to talk to them frequently...

I hope this info helps...

Ok, now I'm enlightened. Thanks for giving me the much needed information.