What Hire purchase (HP) means for you
If you buy on HP, the finance company is the legal owner until the last payment, so the car isn't yours to sell until the debt is cleared. Check finance status before buying; the Finance & Stolen Check costs £4.99 on GetFreeCarCheck.
Under the Hire Purchase Act 1964, a private buyer who buys in good faith usually gets good title, so the finance company generally can't reclaim the car. This doesn't cover dealers or logbook loans (bills of sale), so check the deal first.