Exporting Financed Car to Canada - still making payments

[a_NYC]

Hello All,

I have been reading most of the posts here and still have couple of questions. I have received my COPR and now am in the process of preparing to land in Canada. The only problem I am having is my Car. It was after I purchased my car in 2012, I decided to apply for PR and wasn't aware until last year that it's little difficult to take your car to Canada as a PR. While researching on this forum, I found such a huge pool of information and I thank you guys for that.

Status: Received COPR (Expiry - October 2015)
Current City: New York
Temporary planned Landing Date to Canada: April-May 2015

Car: Hyundai Sonata Hybrid 2012
Purchase History: Bought new in April 2012 (I wish, I had LEASED it.)
Finance: Hyundai Motor Financed. Still making payments on the car. 3 more year to go.
Amount paid: $USD 20,000 till date
Amount to be paid: $USD 20,000 more
Miles driven: 43,000
Insurance: GEICO


What I know:
1) I need my car paid off to export-import in Canada.
2) The Export-Import process is little tedious and explained in some other threads. (I am not allowed to post links here. Don't know why :-[)
3) GEICO provides 45 days of insurance in Canada.

Questions:
1) Is there a way where I do not have to buy the car outright and still can Export-Import into Canada? That means continue making payments in Canada?
2) Is there any way, where I keep the NY license plate and still drive in Canada for more than 45 days (preferably at least for 3 years until I finish my payments)? Any US insurances that will cover the car in Canada if I do this?
3) With above stats of the car, does it make sense to sell off the car in the US?
(I know this is simple answer and take off all the hassles but I would end up at loss if I sell the car. $20,000 for 3 years is too much. As said above - I wish, I had LEASED.)

I hope this will be helpful for anyone in similar situation. Your help is greatly appreciate guys!

 

[rhcohen2014]

1. it will depend on the leinholder of your car. no one can tell you what they will allow/not allow. that is a conversation you need to have with your financing company.
2. it will depend on your insurance company. for most companies, i would assume they would not insure a car if they knew it was in canada a majority of the time, and only in the us a small portion of the time or if your legal status is PR, not visitor. you will need to call around to insurance companies and see what their policies are.
3. that is for you to decide. everyone will have their own opinion on the matter.

 

[Rob_TO]

You can't officially import the car if you're still making payments on it. I'm pretty sure there is no way Hyundai US would allow that since if you abandoned your payments, the car would not even be in the US for them to seize. Only possible way I could see is if Hyundai US could somehow transfer your lien to Hyundai Canada (however I doubt this could happen, but doesn't hurt to ask).

As far as I can tell you have only 3 options:
1. Sell the car in the US before you immigrate
2. Get a separate bank loan to buy out the car outright from Hyundai, then import it lien-free.
3. While you land as a PR, have your car enter Canada as a visitor. This will be dependent on if you can maintain insurance from US company while car is driven exclusively in Canada. IF this is possible, then after car is paid off you could then do the official export/import. Note though since this would be many years after you "land" as PR, car would most likely not be eligible for tax-free import allowance given to PRs so would be subject to full tax/duties/tariffs, etc at the time you import.

 

[rhcohen2014]

Note though since this would be many years after you "land" as PR, car would most likely not be eligible for tax-free import allowance given to PRs so would be subject to full tax/duties/tariffs, etc at the time you import.

if the car was listed on the B4 form as a "good to follow", then it would still be exempt from duty upon importing, no matter when it was. they don't ask for ownership papers for cars on a goods to follow form. all that's required is the VIN# and description.

 

[Rob_TO]

if the car was listed on the B4 form as a "good to follow", then it would still be exempt from duty upon importing, no matter when it was. they don't ask for ownership papers for cars on a goods to follow form. all that's required is the VIN# and description.

Even if 3 years later? I assumed there was some limitation for how long something listed on goods to follow form could be used. But good to know if there is none.

 

[rhcohen2014]

Even if 3 years later? I assumed there was some limitation for how long something listed on goods to follow form could be used. But good to know if there is none.

nope, there is no limit.