Who wouldn’t want to buy a better and newer car than the one who currently owns it? Or he was forced to sell his vehicle for traveling! We do not know what might happen with us, but the sure thing is that the auto market in Dubai provides many facilities for this, as it is full of luxury and fast vehicles, economical and family, whether they operate on fuel, electricity or hybrid system, but we may face a problem during the sale of the vehicle, which is its subordination for a mortgage by the bank until the payment of its installments is completed, as the vehicle is not fully owned by the seller, so in this article, we will talk in detail about how to sell a mortgaged car to the bank in Dubai.
Here are 4 solutions that you can choose from, if you are looking for a way to sell a mortgaged car to the bank in Dubai:
Pay off the loan in full
The first and easiest option is to pay the loan installments in full, and then release the vehicle’s mortgage and sell it normally, but we advise you to make sure of the following things:
- The bank informs the Roads and Transport Authority in Dubai that you have paid the loan
- Ensure that you have an official letter from the bank to release the foreclosure and clearance
Find a buyer from the same bank
Can a mortgaged car be sold to the bank? This question is one of the most common questions in the auto market in Dubai, and the answer is yes, but according to limited options, as we mentioned earlier.
There is also another option, which is to search for someone who can buy your car with a bank loan from the same bank, where you can tell the bank that another person wants to buy the car and transfer the loan to his account by transferring the transaction.
The person wishing to buy the car must apply for a loan from the bank and obtain the approval, then you will have to perform a mortgage car ownership transfer transaction at Dubai Roads and Transport Authority or registration centers.
* Note: This option is not available in all banks in Dubai, so you should check with the bank before performing any of the above-mentioned steps
Find a buyer pays cash
The other option is to find a buyer who pays cash and is willing to pay the entire loan to the bank directly, as you must sign the power of attorney letter to grant the new buyer the car rights when the vehicle is mortgaged, then you both have to do the rest of the car ownership transfer procedures in the UAE.
In cooperation with the famous dubizzle website for buying and selling cars in the UAE, Emirates NBD launched the Auto-Swap program as the first solution to buy a car loan in the region. This program provides an easy financing solution for individuals who want to buy used cars, and we in turn offer you the most important 6 tips It should be followed before buying a used car in the UAE.
The following are the main advantages of this program:
- Interest rate starting from 2.99%
- Financing up to 80% of the vehicle value
- A guaranteed solution for those looking for a way to sell a mortgaged car to the bank in the UAE in general and Dubai in particular
- Same day loan preparation procedures
The program aims to enable car owners who want to sell their cars to complete their transactions without having to settle their current loans. It also helps them search for a buyer for the car, through the dubizzle website. To benefit from this program, follow these steps:
- Visit the Emirates NBD website
- Choose a car loan, under the Personal Services category
- Enter your contact information
- Enter the vehicle’s age
- Click on the Submit Application icon