Car finance voluntary termination

Bobsa

Hi,

I have notified my finance company of my intention to VT my HP agreement and hand my car back. They have sent me a letter telling me that my car will be inspected, which is fine. However, they have also said if the car needs any work they will bill me for it even if the don't carry the work out as this will cover any shortfall they receive at auction for the car.

I don't think this is right as the value of the car at auction can be different on any given day depending on many factors. I don't think the car will need any repairs, but if the decided the car needed £1000 and sold it for £2500 which is its approximate value at auction they are saying they will still want the £1000.

Could anybody give advice on the legality of this?

Regards

You-kip

Yes this is correct any damage to the car which needs repair etc you're liable for this.

YorkshireBoy

Bobsa wrote: »

However, they have also said if the car needs any work they will bill me for it even if the don't carry the work out as this will cover any shortfall they receive at auction for the car.

I don't think this is right

I've never had HP, let alone VTd a car, but did they also tell you this at the outset, ie in the contract you signed and agreed, or is it a new condition they're implementing?

You-kip

It would've been in the original agreement under the T&C's for the OP.

bigadaj

It's perfectly legal, just inspect the car with the collector, make sure you get a copy of a jointly signed inspection that is correct and take plenty of photos, there have been numerous threads about damage being claimed after return without justification.

Ant.Evs

Yes take tons of photos of everything. Loads of horror stories about the management company trying it on.

Is personally get the car cleaned so its in pristine condition just so they cant pull you on a thing.