can you transfer ownership of a car on finance

Short answer: you can’t transfer clear ownership of a financed car unless the loan is paid out or the lender formally agrees to a transfer/refinance.

The finance company has a security interest recorded on the PPSR, so shifting the rego doesn’t magic away the debt—it just moves the paperwork while the encumbrance stays put.

To sell or “hand over” the car, get a written payout figure, have funds sent directly to the lender at settlement, and obtain a release letter before the transfer.

Some lenders allow loan assumptions or novations, but only with their approval and fresh credit checks; otherwise it’s payout first, keys second.

Check the PPSR, your loan contract, and your state authority’s transfer steps (Service NSW, VicRoads, TMR, etc.) so no one ends up inheriting a surprise lien.