Getting out of hire agreement - HELP!

chancey

My Husband took out a Hire agreement with Vans Direct (Network vehicles) in November 2007. He put down a deposit of 2261.88 then has been paying 221.00 a month. The contract was over 5 years.

My husband now no longer needs the van (he is going from being self employed to employed and the company supply a van).

I have just requested a settlement figure:
Future rentals 4910.36
final rental 4036.00
VAT 1390.15
Total 9333.86

I think the van was worth about 12k when we bought it and it is worth between 6-7k now.

We have to sell the van privately and give the money to the finance company and make up the loss of 3k on a credit card.

I am so cross as we have managed to clear 3k of credit card debt this year and we will right back to square one but have the knowledge that we have spent 20k on a van we wont even have sat on our drive!

Do I just have to accept we made a very bad choice or is there something else I can do???

Any advice would be very very appreciated

vicki

bigjl

The only option is to keep the van till the contract is up then sell, I assume he had it on a lease of some sort where after 5 years you dispose of the van and give the lease company 5% of an agreed final value. Or was it some form of PCP?

The company doesn't want the van back as they have to pay to dispose of it, a lot of risk involved in getting rid of a used van, as they get treated a little harsher than private car a lot of the time.

This is one of the reasons why I would never have a car or van on a PCP or lease unless, as your husband was, self employed.

jayne7868

HI

I too have a 'Hire agreements' through vans direct and wish to end the contract. I was under the impression ( via vans direct )that i was buying the van.

The van has been fully services and looked after. It is 2 years and has 118k on the clock- nothing for this type of van, However the engine has blown. We can not afford to be off the road, the 3 year warrenty has been reached as it is over 100k miles. To buy a new van and pay this one off is impossible.

We have been offered a huge get out fee, simular to the above one, however our 'hire agreement' states we are covered by the consumer credit act.

Do we have any other options without getting a bad credit history?

Thankyou