Handing Car Back

Angela230787

Hi everyone,

Just need some advice for my dad, I am 25 and living at home, recently lost my job, and I am looking at goinf bankrupt in the next couple of weeks,

My Mum and Dad have two cars, a 107 which is my mum's and a Mazda 3 which is in my dad's name but I also use to help pay for this although have stopped now.

In December he would have paid 30 out of the 60 months of the Finance can he hand the car back? and how does he go about doing this? He wants to keep the 107 instead because it is cheaper to run, I will be using public transport which doesnt bother me, so getting rid of the car is the best thing to do.

Any advice would help.

FreddieFrugal

Need to check your finance agreement but if you've paid over 1/2 of the finance amount then you should normally be able to hand car back without any penalties. May effect credit record if your Dad ever wanted finance in future.

Just need to read the relevant section in your agreement about early termination and then contact them about it.

Rain_Shadow

The finance company will be able to tell you if you have paid enough to make a voluntary termination. When you have made half the monthly payments it is very likely you will be able to IF there is no final balloon payment.

I voluntarily terminated a Mazda about 4 years ago. I had made 32 of the 36 monthly payments but, because of the balloon, had only paid just over half of the finance total.

It didn't affect my ability to take out two new finance agreements for new Mazdas immediately.