Am I stuck with a car on finance??

cmaj31

Hi,

I have a car which I bought through approved car finance and welcome 2 years ago, I have never had any problems with them and have never missed a payment and have 2 years left to pay. However due to my expanding family, I now need an 8 seater so I went back to ACF as they had been really good with me last time and basically the finance was no problem however they could not find an 8 seater anywhere and were unlikely to get any in for 6 to 8 months.
I was thinking of doing a voluntary termination and starting again but after reading some stories about getting your credit file marked for this and the fact that I would have paid all that money for nothing, I don't really want to do that.
What I really need to know is what other options are open to me??

1 - Is it possible to part ex the car elsewhere and get them to add the outstanding balance to a new credit argeement? Can anyone suggest anywhere?
2 - With the permission of the finance company can I sell the car I have and buy what I need and carry on paying what I owe?


Any help you can give would be greatly appreciated (also sorry if this should be posted on the cars board)

nwph

cmaj31 wrote: »

Hi,

I have a car which I bought through approved car finance and welcome 2 years ago, I have never had any problems with them and have never missed a payment and have 2 years left to pay. However due to my expanding family, I now need an 8 seater so I went back to ACF as they had been really good with me last time and basically the finance was no problem however they could not find an 8 seater anywhere and were unlikely to get any in for 6 to 8 months.
I was thinking of doing a voluntary termination and starting again but after reading some stories about getting your credit file marked for this and the fact that I would have paid all that money for nothing, I don't really want to do that.
What I really need to know is what other options are open to me??

1 - Is it possible to part ex the car elsewhere and get them to add the outstanding balance to a new credit argeement? Can anyone suggest anywhere?
2 - With the permission of the finance company can I sell the car I have and buy what I need and carry on paying what I owe?


Any help you can give would be greatly appreciated (also sorry if this should be posted on the cars board)

Ring them up ,and enquire ,get a final settlement figure in writing ,take this information to a dealer and then have fun bartering ,there are loads of bargains to be had at the moment .Don't let the dealer undervalue your car ,and shop around .

You can sell the car but you must pay within 48 hrs the settlement figure .

ILW

I took a car with outstanding finance to a Nissan dealer a couple of years ago. They traded in my old car and sorted out repaying the existing finance (not with them) and arranged finance on the new car. Was all very simple.

cmaj31

Thanks for the info but after a week of trying nobody will take the car as part ex as the remaining finance is greater than the value of the car.
Does anybody have experience of continuing to pay the finance but sell the car and use the money to buy another car??

Bangoutofluck

cmaj31 wrote: »

Hi,

I have a car which I bought through approved car finance and welcome 2 years ago, I have never had any problems with them and have never missed a payment and have 2 years left to pay. However due to my expanding family, I now need an 8 seater so I went back to ACF as they had been really good with me last time and basically the finance was no problem however they could not find an 8 seater anywhere and were unlikely to get any in for 6 to 8 months.
I was thinking of doing a voluntary termination and starting again but after reading some stories about getting your credit file marked for this and the fact that I would have paid all that money for nothing, I don't really want to do that.
What I really need to know is what other options are open to me??

1 - Is it possible to part ex the car elsewhere and get them to add the outstanding balance to a new credit argeement? Can anyone suggest anywhere?
2 - With the permission of the finance company can I sell the car I have and buy what I need and carry on paying what I owe?


Any help you can give would be greatly appreciated (also sorry if this should be posted on the cars board)

Hay! How long is the Hire Purchase agrement? I ask because under the rule of 78 you have the write to hand the car back if you are half way through the term of the agrement. You must be on time with your payments and they can not charge a fee. its free! Phone them up they will try and argue but its your legal write. They are also not aloud to mark your credit file so if they do then you can argue it. Let them know you wont be messed about. I have done this. When I bought a car from welcome finanace. the car was awful I VT it and then had to argue to clear my credit file 2 nasty letter and 6 weeks latter is back to how it should be.

:T:T:T

cmaj31

I've paid over the required amount to hand the car back.
I've looked at getting a loan to pay off the finance so that I can sell the car and use the money to buy another car but can't get the amount I need. Therefore it looks like I'll have to do a voluntary termination and then get the loan for the lesser amount to get the car I need. :mad:
The joys of HP!!!
Does anyone have any advice for carrying out the VT???

cmaj31

***bump***

BenL

Maybe get a loan before doing the VT just incase your credit worthiness is hampered.

Some people report no problems in the future, other people say car finance houses don't like to lend to them again.

GeorgeUK

You can do a VT at any time although you need to make payments up to 50% of the original price. The national debline has some good advice on what to do.

As far as i understand, your credit file will be marked to state that you made a voluntary termination but you can doublecheck this with ND too. I think this is only of any impact if you try to get another car on HP.
http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=16_how_to_deal_with_hire_purchase_debt#chapter6

PNPSUKNET

I had no prob doing a vt with directauto finance, I loved to inform them of it too It has not damaged my file in anyway

RichUncleSkellington

My father is in a situation with this company too:

He has had a car for just over a year, which they told him he could hand back after 2 years. I've just rung them on his behalf and theyve said this is not the case, that he either has to settle the car now, or pay it until its paid, there is no other option other than cancelling his direct debit, and being taken to court.

He cannot afford the car anymore, or indeed any other car for that matter, he just wants shot of it. They said as well as a load of charges on top, they will sell the car at auction and take it off of £13k that he owes them. I've checked, and the car is worth no more than £5k private, so it'd be about £4k at an auction?!

He is really worried about this, he thinks he is going to have to keep the car and absolutely skint himself, is there anything he can do that wont end with him bankrupt?