company car tax law help please

davey9998

can get an audi a5 through work for £207 per month which after co car tax is about £280 all in so not bad.

however, if i leave within 3 years i have been told i have to pay the remaining payments until the end of the 3 year term AND give the car back. I have also signed something to say i'm happy for them to do this IF i get a company car.

Therefore if i leave after 1 year i still have 2 years or 24 payments to make which would be around £5,000 (a lot of cash)

Is this legally enforceable? I could see their point if i got to keep the car but I would have to pay and give the car back - hardly fair!

Therefore i'm thinking of leasing a car for say £300 per month and having to pay insurance but it may be better than having the worry about paying back the money and not having a car.

can anyone help me with the legalities of this?

thanks
davey

Debt_Free_Chick

Chances are that the company is only leasing the car and would/could never buy it without making a balloon payment.

So, if you leave within three years, you are simply paying the remainder of the outstanding lease and - with no balloon payment - the car still belongs to the leasing company.