Default Notice

maccamum

Hi I am a newbie so forgive me if i have posted in wrong forum! I have recently been sent a default notice by Mercedes in which I owe 2 months = £891.56, which I am not disputing but a paragraph reads on the back "You will need to pay £0.00 if you wish to end this agreement by the date shown etc..." I therefore wrote to them asking to vountarily terminate the agreement because I can no longer afford it and just wishing to pay the 2 amounts I owe and no more but they have said that is an error and I need to pay that amount and the last 2 payments (due to end on 30 June) before they will take the car back, is there anything I can do, I simply can't afford to pay all of that, I could probably pay the 2 I owe on a credit card but I just want to get rid of the car, please please help this is keeping me up at night. Many thanks for reading.

Apples2

Are you missing some figures?

You seem prepared to pay £891.56, the only other figure you have mentioned is £0.00.

maccamum

Duh, sorry I knew i hadnt worded it very well! They want another two months, as they say that was a mistake so all in all they want over £1600! But i feel I should only pay my arrears as I have asked them to take the car 6 weeks ago and they said I couldn't I would have to pay all the term of the agreement up to end of June but then i had that letter saying just pay the arrears and if I want to voluntarily terminate do so by writing and pay nil, they say it is just a mistake and i need to pay it all, so just wondering what to do as can't afford it all and wish theyh would take the car!! Thanks so very much for replying!

Apples2

To VT an agreement you must pay at least 50% of the repayments.

I assume you are 4 months away from the half way point in the agreement term so they want not only your 2 arrears payments, but also the other 2 payments to bring you up to 50%.

Most finance companies withdraw the VT option if you miss a repayment so you could end up with a fight.

maccamum

Ok thanks this is the case then, but because they sent me a letter with nil on, I thought I could use this in my defence! Wishful thinking maybe! Thanks very much for taking the time to answer me.

maccamum

Sorry I am only 2 months away from the end of the whole agreement, but am struggling and wanted them to take car away nearly two months ago, thats why I don't see why I should pay it if now they say I gotta pay the whole amount, but it may be that I will have to let them take me to court and then come to an agreement! Thanks again! x

Apples2

What? If you VT the car now, you walk away with nothing.

If you manage to muster up the £1.6k you drive off with the car (or is there a balloon payment due?)
How much is the car worth?

Dharminder

Hi, I'm new to this too, can someone please help me? I lost my job in October 2011, since then I've been bouncing from temporary job to job. I bought a Sofa with DFS back in October 2010, all was fine, payments were ok, after losing my jobs I maintained payments to Santander until last month. I had no money to pay so I managed to borrow some and paid £207.00 on 01-06-2012 however on that day I was issued a DEFAULT NOTICE. Is there anything I can do? I have emailed Santander asking them to check their records as the payment has been made, would they consider removing it?

Apples2

Dharminder wrote: »

I maintained payments to Santander until last month. I had no money to pay so I managed to borrow some and paid £207.00 on 01-06-2012 however on that day I was issued a DEFAULT NOTICE. Is there anything I can do?

They issued a default after just ONE missed payment?
Seems a bit premature to take such a measure, they can remove it but you are at their mercy.

maccamum

Thanks very much Apples, yeah there is a balloon payment I just can't afford it and want it to go! I will just contact them and offer watever payments I can afford!! The car is only worth about £17K and that is what the balloon payment is, so no one loses if they take it.