Help - a question about car reposession

MyopicMoo

Hi,

I have a question about car finance (through Welscum) and reposession.

I had car finance through this company. In June, due to a range of problems on this and other accounts we have, I received a statement which stated that I had missed 2 payments. 4 months later, in October, I was told by one of their office people that as I had missed more than 7 payments the car would be reposessed. I was told that unless I paid almost £3K it would be reposessed (I hadn't reached the VT point). As there was no way I could pay £3k and money was very tight due to my OH being made redundant, I stopped paying. I'm sure that I made at least 1 payment between June and Oct (but need to check my bank statements to be certain), but even if I hadn't it would have been only 6 missed payments.

On Thursday they reposessed the car (full and long story on my diary).

Today I noticed that 2 car payments had been paid incorrectly onto my personal loan account. So when I was first told the car would be repossessed I had actually missed a maximum of 4.

I don't want the car back - to be honest I think is is a blessing in disguise - but where do I stand legally and how much will I still have to pay? The car is worth about £5K.

Any advice very gratefully received.

Thanks

Oneday77

What was the original purchase price of the car?
How much have you paid towards the car including any initial deposit?
Are you sure you haven't paid enough for a Voluntary termination. People sometimes think it is half of the credit balance, when it is actually half the credit price of the car including the deposit payment.
It may be worth looking into the 2 incorrectly recorded payments.

MyopicMoo

Hi,
The original purchase price was about £9K, I had paid £2-3K but the VT amount was about £6K. There was no deposit - one of the reasons I ended up going with Welscum in the first place. With hindsight I should have just got a cheap runabout, but at the time I relly had to have a car as I had to commute 50 miles to work and back as I was tied into a rental contract.
Thanks for your reply

Oneday77

Your welcome. I beleive you will have to pay the shortfall between what ever the sell the car for at auction minus repossesion fees and any extra charges they enforce. So say the sell it for £4000, you still owe £6000 on the finance and they charge you £500 for the repossesion. They will say you owe £2500.
My figures are out of the air so not a true representation but you get the jist of it.

MyopicMoo

Thanks for that. To be honest I am increasingly glad it has gone - even if it means a 1.5 mile walk to the station. The exercise will do me good! At least it will mean I owe them less and they can join the pile of non-priority debts. I will be ecstatic the day I owe these bloodsuckers nothing.

On a positive note, OH, who also has a car through them (with an even scarier apr), is about 2 payments away from the VT point. Once we get there and have enough savings to buy a cheap car we will get rid of it. Hindsight is a wonderful thing!