Buying already leased car

[s_faraz]

Salam all, on Pakwheels there are hundred of already leased cars available for sale, even pakwheel have separate section of leased cars for sale. What should be kept in mind before buying such car and is it illegal or what?

[dayrider]

depends if the lease is transfereable or not, usually they aren't, so its a big risk and usually results in caos.

[omersiddiqui5482]

it is hectic concerning the transfer of lease, the Leasing company procedures etc.

[Djaymx]

Get it in writing with thumb impressions on a stamp paper, the seller forfeiting all their rights , responsibilities and access to the vehicle.

Followed by getting it notarised, so if in future you can transfer on your name when lease clears.

[hamz80]

Would suggest to stay away from such proposition.

Consider that the bank has conducted due diligence on the original lessee and not you. I am sure you wont be getting all the documents with the car as the bank has custody of those.
I would rather term it illegal...

[Djaymx]

I agree, but Leased cars are technically property of the bank but it is not such a huge asset like real estate.. You're basically renting the vehicle from the original lessee and they're paying the bank on your behalf, you have to get it all in writing including a NOC from the bank that the vehicle will be in use of the so-and-so person, Lease can be transferred in some cases banks allow it but they don't advertise as such, You can even purchase someone else's defaulted loan these days so a physical asset like a vehicle shouldn't be an issue.

All i am saying is, it is a hassle but it depends on you, if its worth it for you or not.

[hamz80]

Would humbly disagree here.
it isnt about the value of the asset. If such things get going, multiple vehicle cases would equate the value of real estate.
it is as big a risk for the original lessee. What if the buyer refuses to pay further installments? the agreement between the original lessee and the buyer without any knowledge of the Bank is void ab initio.

[Djaymx]

That’s why i said going to your bank to transfer the loan is an option but they don’t disclose it to people so they don’t have to deal with it, most banks should be able to do it