Unregulated car lease purchase?

Busy_Welsh_Mum

We are about to change our car but found out from the garage that we were in an unregulated lease purchase agreement. This means that we can't simply just hand our car back at the end of the 3 year term, we will also be liable to the shortfall in its value against the balloon payment - all because the loan was above £25 k. This was not made clear to us when purchasing the car so are looking for advice on whether we have been mis sold the car or what we can do. In fact, the salesman actually advised us to keep the ballon payment higher to reduce the monthly payments.

tictax

not much you can do in all honesty as it will be your word against the dealership. The only thing I can suggest is sending your complaint in writing to the dealer but I can't really see much coming from it.

How long have you had the vehicle? You may be better off keeping the car until the three years is up. You may still have some negative equity due to used car values plummeting at the moment but it will be a better situation than if you still have a few months to go.

nomoneytoday

The £25k limit has only been lifted recently, so AFAIK they were probably unable to offer a regulated car loan for that amount at the time...