Car respossession

charitycase

motorguy wrote: »

Once you have paid 50% of the total value of the loan you can voluntarily terminate, and they can do nothing about it.

I dont understand why thats not the scenario here?

Not to question your knowledge of legal matters, but this sounds too good to be true.

Am I right in undertanding that I can terminate the agreement and NOT PAY the balance amount?

molerat

It all hinges on exactly what type of credit agreement you have, read it and tell us what the big writing across the top says. What has been happening since March ?

charitycase

molerat wrote: »

It all hinges on exactly what type of credit agreement you have, read it and tell us what the big writing across the top says. What has been happening since March ?

It says "Hire Purchase Agreement regulated by the Consumer Credit Act 1974".

With reference to what someone had mentioned on here, I have read through the agreement in full, and nowhere does it say anything about Link Financial Ltd. being involved in the repayment process. Is it legal for Ford Credit to sell their debt on to other parties? And how does this affect my liability?

I have actually mentioned the above fact on form N244 in the 'evidence' box. Is this a good idea?

Thank you.

colino

Sorry, you really need to sit down with someone local to look at your financial situation. Ford finance would have initially chased you for payment and then with no payment or VR, sent you a default notice. With no subsequent payment from you or VR, they've given up, and quite legally, sold your debt to try and recover something from the situation. Speak to a debt counsellor sooner than later.

tykesi

colino wrote: »

Sorry, you really need to sit down with someone local to look at your financial situation. Ford finance would have initially chased you for payment and then with no payment or VR, sent you a default notice. With no subsequent payment from you or VR, they've given up, and quite legally, sold your debt to try and recover something from the situation. Speak to a debt counsellor sooner than later.

This. Especially as you originally posted in February and from your latest question seem to be in the same situation as you were then?!

iolanthe07

Am I right in undertanding that I can terminate the agreement and NOT PAY the balance amount?

Only in certain circumstances, and only if your payments have all been in full and on time.

molerat

You can terminate the agreement at any time, whether you have paid the 50% or not, and the value of the vehicle will not enter into the equation. The vehicle must have been "reasonably looked after" and you will only be liable for any overdue payments not the full amount of the agreement. You should have done this months ago and it would have stopped the debt increasing. There are loads of good sites to google for info.

If the DC had a leg to stand on they would have taken the car already, what they are asking you to sign is a voluntary surrender where you would owe the difference between the auction amount and the remaining agreement balance. Do not sign anything. The best thing that could happen would be them turning up at night and taking the car away, they won't do it though as they know the financial consequences for them

attila_

motorguy wrote: »

Theres so much wrong with this. I'm embarassed for you.

Oh dear. A car is a depreciating asset over usage, a house is not.

Stop kidding yourself that buying a car on finance is a good idea.