You can sell to a dealer if there are finance payments outstanding on it. You’ll need to let the dealer know the settlement fee (the amount left to pay). You can find this out by contacting your finance provider, who’ll give you a settlement fee that’s valid for 30 days. You can then give this to the dealer, who will settle the amount on your behalf.
For example, you sell your car for £10,000 and you still owe £8,000 on finance. The dealer will settle the £8,000 with the finance company and will give you the remaining £2,000.
If the amount owed is more than the selling price of the car, you’ll need to pay the remaining amount to the dealer. When the outstanding finance amount on your car is more than the valuation, this is called ‘negative equity’.