Exchange a used car plus cash for a new

[Wizard]

I own a Toyota Premio and I am just about to swap my car for a brand new Q7 for my car and put the difference in cash via lease. 

Since we are doing a swap I asked the dealer it's best we sign an agreement of the exchange part but he is hesitant to do so. 

Now I am a bit worried, can someone shed some light on this matter?

[ShintaroX]

Hi, I am the unofficial official auto Lanka mental health crusader. Here is my view:

Will you be transferring the car into the dealer’s name? If not you will be selling on ‘open papers’ and that is illegal and risky - you are still responsible for your car until it is sold on. Mental health plummets.

This may be why the dealer is hesitant to sign an agreement. Now this is slightly hypocritical advice because I myself have done this kind of exchange but in my case it with a known party, so if you don’t know this dealer I would advise you not to do the exchange, but sell you car and take the cash and lease. You’ll probably get more for your car too and you’ll need a smaller lease and your mental health will soar.

Note: this was a free service, don’t worry. (Mental health FTW)

[Crosswind]

Is it that difficult to sell a Premio? Just advertise in Auto lanka and sell it to the first otuwa who walks in. You will get a much better price for the car than what is offered by the car sale guy.

There are no tax benefits for exchanging cars in Sri Lanka. Taxes will remain same irrespective of whether you sell the car personally or sell it to the car sale guy.

[ajm]

how much will be the lease?

[Wizard]

Thanks guys.

what if i take an invoice deducting the value of my car from the one he sells. Will that help.

the other reason I’m worried is tax. 

[ajm]

I am quite sure that from the Agent point of view,they will have to take VAT for the Total value of new Car sold,without reducing the value of the old car.

[iRage]

Like Crosswinds said..why not sell the car yourself ? When exchanging the seller of the car you are buying will def offer you less than what you can sell it for in the open market. Think about it...

The dealer has to sell your Premio at market price...thus he needs to source it from you for less than what that market price is. Since he is also assuming the burden of selling the Premio he will lower the value of the Premio as much as possible. You are loosing out ! So..just sell it yourself. It is not like you are buying a one of a million car where you have to get this particular Q7 at all cost...there will be other Q7s for you to buy once you sell off your Premio.

No they will not give you in invoice for the Q7 with the value of the Premio deducted (at least the probability of getting it is quite low and they shouldn't considering that there is not even an agreement for the Premio exchange..not to mention that would also mean you have to transfer the papers on to the dealer as the dealer is actually taking ownership of it). Thus VAT will be for the full amount.

Also, like someone else mentioned the open papers issue is there....even after the dealer sells off the Premio to a new owner; there is no guarantee that the new owner will put his/her name down in the papers in due time.

[matroska]

I remember a slime ball once tried to sell me a Yaris for the car I was using then + cash which translated to me getting a lot less for the car i had. This kind of deal ALWAYS means you get much less for your current car . Selling a premio as crosswind and irage  said is one of the easiest things to do in SL.

[carbuddy]

On 3/20/2018 at 6:28 AM, ShintaroX said:

Hi, I am the unofficial official auto Lanka mental health crusader. Here is my view:

Will you be transferring the car into the dealer’s name? If not you will be selling on ‘open papers’ and that is illegal and risky - you are still responsible for your car until it is sold on. Mental health plummets.

This may be why the dealer is hesitant to sign an agreement. Now this is slightly hypocritical advice because I myself have done this kind of exchange but in my case it with a known party, so if you don’t know this dealer I would advise you not to do the exchange, but sell you car and take the cash and lease. You’ll probably get more for your car too and you’ll need a smaller lease and your mental health will soar.

Note: this was a free service, don’t worry. (Mental health FTW)

Hi guys, 

If we can arrange a later with a lawyer will it be a good solution?

 

[Crosswind]

2 hours ago, carbuddy said:

Hi guys, 

If we can arrange a later with a lawyer will it be a good solution?

 

Seriously, are the posts above that difficult for you to understand???

Selling a car on open papers is ILLEGAL in Sri Lanka. A letter from a lawyer does not make it legal!

[carbuddy]

17 hours ago, Crosswind said:

Seriously, are the posts above that difficult for you to understand???

Selling a car on open papers is ILLEGAL in Sri Lanka. A letter from a lawyer does not make it legal!

Thanks mate!! double clear

[Dewa Queen]

I  have Nissan wingroad y11. I want to sale or exchange to another. Because for me it's a big vehicle. I am just searching for a small