Hire Purchase with a non runner

Perikt

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Hi guys,

I will try to keep this short. In essence the problem I have is I have a car that is just over 3 years old but has had an engine problem and the dealership have advised that I need a new engine. I am looking to take this elsewhere to get the work done as I feel the cost that I have been quoted exceeds the value left in the car.

My car is under hire purchase with almost 75% paid for. I am looking therefore to hand this back under voluntary termination but I understand that the car must be in good working order so that I am not billed for any work the finance company require in order to sell this on. Is this correct?

If I get the work done privately so that the car is usable, would I be entitled to hand the car back without financial penalty. My worry is that the engine number will be different than the original and I am not sure if I will get a financial penalty in getting this work done?

I hope someone can help me as I am currently looking at having to sell the car as a non runner and find the money to pay off the finance before getting a new car.

Tilt

Make/model/age/mileage plz And how long has it had an 'engine problem'? Is it a possible warranty issue?

diesel_dog

As above and does it have full on schedule service history and how much older than three years is it?
What is the engine problem?

Perikt

its a ford mondeo 1.8tdci 09 reg 98k mileage with full service history. The problem was diagnosed by a main dealer to a connecting rod failure which has damaged cylinder 3 and 4 but not knowing a lot about cars I am unsure if it can be repaired with some effort or if it does need a new engine as ford have told me.

Tilt

Hmm that's a lot of miles for it's age. What's the mileage limit stipulated in the warranty?

Perikt

yep, used to travel a lot more than i do now. 60,000 was the mileage limit

forgotmyname

Pretty sure the vehicle needs to be in a condition fitting with its age.

Handing a 3 year old car back with a blown engine would be outside that.
They could fit a new engine and bill you for that.

So it may cost more than fixing it yourself.

Get a used engine and get that fitted.

Perikt

forgotmyname, will they have any problem with the fact I have changed the engine? As "technically" the goods have changed

Inner_Zone

Perikt wrote: »

forgotmyname, will they have any problem with the fact I have changed the engine? As "technically" the goods have changed

Do you have the V5? If you go ahead, notify the DVLA and get the engine number changed, at least that way the newly issued V5 will match the car. Though it's been a long time since I change a whole engine, so I can't remember if it is noted on the V5 or not. Maybe someone with recent experience will advise.

Ultrasonic

Perikt wrote: »

My car is under hire purchase with almost 75% paid for. I am looking therefore to hand this back under voluntary termination but I understand that the car must be in good working order so that I am not billed for any work the finance company require in order to sell this on. Is this correct?

If you get a working replacement engine installed, why don't you just keep the car?

bigjl

I agree with Ultrasonic, find a low mileage lump and get another year or so out of it.

I don't know what is written in your HP agreement but they would likely just send it to auction.

Though with a new/used engine, and all the injectors etc from the old one and inform the DVLA and you have a issuable vehicle again.

Why pay more depreciation on a replacement, even with 100k an '09 Mondeo has a lot of life left in it.

There are lots of Mondeos with 200k plus on them, the 1.8 was not the best lump as it is rather old now, though it is fitted to lots of other Fords.

If you have to spend a grand getting a low miles used engine, try to find the engine still in the car, hopefully hit hard up the back, you will still be ahead financially compared to selling and buying another car.