Canceling a car on finance

doofus22

Hi I have a new job which comes with a company car. I no longer need my current vehicle which i bought on finance about 2years ago. How would I go about getting rid of the car and ending the finance?

Thanks

Nodding_Donkey

If you have paid more that half the payments you can do a Voluntary Termination which means you just hand the car back and owe them nothing.

motorguy

doofus22 wrote: »

Hi I have a new job which comes with a company car. I no longer need my current vehicle which i bought on finance about 2years ago. How would I go about getting rid of the car and ending the finance?

Thanks

Various options, depending on how much you owe.

Firstly, check the finance agreement, you may well have paid over 50% of the total agreement cost and therefore can hand the car back with nothing further to pay, providing it has been kept in good condition.

If not, then ask the finance company for a settlement figure.

Check what the cars worth online using the likes of autotrader to find comparable cars.

If the settlement figure is less than the value of the car, advertise the car, and have the buyer pay the finance company directly.

Otherwise, you could look at webuyanycar.com or ring around a few local dealers and ask to speak to the car buying manager for a valuation.

If you owe more than its worth, then you will have to put money to it when its sold.

bigjl

I would likely hold on to it for a while

You never know how this new job will work out.

But that is just a personal opinion.

Previous posters have outlined the usual ways to get out of the deal.

motorguy

Nodding_Donkey wrote: »

If you have paid more that half the payments you can do a Voluntary Termination which means you just hand the car back and owe them nothing.

Providing it has been kept in good condition and has been serviced to manufacturers recommended intervals.

Tiddlywinks

What does your contract say?

macman

What sort of finance? HP, PCP, lease, personal loan...

poppasmurf_bewdley

motorguy wrote: »

Providing it has been kept in good condition and has been serviced to manufacturers recommended intervals.

Only if these conditions are stipulated in the HP agreement (which I have never yet seen).

motorguy

poppasmurf_bewdley wrote: »

Only if these conditions are stipulated in the HP agreement (which I have never yet seen).

They can expect the car to have been "looked after" and "looked after" could include it being serviced to the manufacturers recommended schedule. There will be some wording around that in the finance agreement.

They "might" try to enforce some sort of a charge if you havent looked after it for reparatory costs.

For example, if there was a ding on the wing or a scratch on the bonnet, they could bill you for the repair.