Car finance and vt

Danielmac10

Hi first post on here I bought a car 25 months ago on finance over 5 years the amounts of finance was £5100 got a settlement figure last month £4279 can this be right I've paid £4014 since the start?

I want a more fuel efficient car. As my car isn't worth £4279 anymore can i voluntary terminate my agreement. I'm unsure how this works or even if I can do this.

Any help will be greatly appreciated

DevCoder

It can be right, whats the APR on the finance?

You normally have to pay at least 50% of the finance before you can VT and even then you must return the car in immaculate condition as they'll take any chance to add monies owing after voiding the contract for any scratches etc.

Caz3121

you need to know the interest rate to calculate whether the total is correct. £8,300 replayable for £5,100 could be correct for a 5 year loan

Was this HP or finance, you need to check your paperwork to see if you can VT. It is normally when 50% of the payments have been made which would be in another few months

Danielmac10

It's hire purchase could you pay upto the 50% mark in advance and return it

amr547

Danielmac10 wrote: »

It's hire purchase could you pay upto the 50% mark in advance and return it

Did you check the agreement, there is a 'final payment' you have to pay to keep the car and transfer it into your right, which is normally quite a lot for HP. I know for my car the final payment is £2500. You should be able to find it in your paperwork. It'll detail how many payments you have to make and of how much, then a final payment.

poppasmurf_bewdley

If you VT the car, it does not have to be in 'immaculate' condition. It has to be in a condition commensurate with its age, ie nobody would expect a five year old car to have unmarked bodywork and unworn interior. Even if you have put 200k onto the mileage in the time you have owned it, that cannot stop a VT.

Phils_debt

poppasmurf_bewdley wrote: »

If you VT the car, it does not have to be in 'immaculate' condition. It has to be in a condition commensurate with its age, ie nobody would expect a five year old car to have unmarked bodywork and unworn interior. Even if you have put 200k onto the mileage in the time you have owned it, that cannot stop a VT.

What about scuffed alloys ?

What about service history it was missing a service before i bought it

poppasmurf_bewdley

Phils_debt wrote: »

What about scuffed alloys ?

What about service history it was missing a service before i bought it

Unless there is anything specifically mentioned in your HP agreement, then scuffed alloys and missing service history will not affect any VT. And service history missing before you bought the car can hardly be added after, can it?

ChopperST

Chances are they'll tell you to take it to the nearest auction house and not even bother inspecting it anyway