Cancelling a car loan agreement and keeping the discount

smjxm09

I have bought a new car but to secure a discount that was offered for PCP and HP agreements I have taken out a loan even though I have the cash to pay outright.

As I am within the 14 day cooling off period I have read on internet sites that I have a right to cancel the agreement and to pay the loan off without penalty.

Has anyone done this on a car deal where a discount was offered for finance and then kept the discount after paying off the loan within 14 days?

[Deleted User]

Yep - lots.

redpete

Not within the 30 days but within a couple of months - Ts&Cs of the loan allowed free early repayment. (Skoda / VW finance)

class2ldn

Quite a common thing. Vw were doing massive discounts on finance last year so people were taking it out then paying it off if they had the cash like yourself.

i_want_to_believe

I did it last Monday with Fiat.
I first asked for a settlement figure that was over £150 more than the original finance, (i'd had it 3 days).
After reading the agreement I then phoned back and said I wanted to withdraw from the finance. My agreement said it would cost the interest of £2.05 per day.
Paid by card, jobs a good 'un!

smjxm09

I think if I cancel within the 14 day cooling off period they can't charge any interest.

The only thing on the back of my mind is can the manufacture then back charge me for the discount they have given me seeing that I have cancelled the agreement after collecting the car.

I have looked for the terms and conditions of the discount from the manufactures website and can't find any terms and conditions!

[Deleted User]

They can still charge you interest for the length of time you've borrowed the money for, but there would be no other penalties.