Advice on car finance when the car is no longer usable

pow1983

This seemed like the most appropriate forum to my query, but please move if not.


I bought a car on finance a couple of years ago, however, the car has already packed up beyond repair. I still have approximately £3000 to pay off, but this will stop me from being able to afford a new car and is making it difficult to get to work every day.


Is there anything I can do to cancel it or reduce the amount payable if the finance company collect the car? Do I have any rights at all?
I wanted to arm myself with any tips or knowledge before calling them.


Many Thanks
Richard

Gaz83

Have you paid more than 50% of what was agreed?

pow1983

Hi
Yes I'm fairly certain I have now.

MEM62

Gaz83 wrote: »

Have you paid more than 50% of what was agreed?

If you are pointing the OP in the direction of VT this may not works as the car would have to be returned in reasonable condition. If he returns it in a poor state then the repair costs may be even more that the current outstanding loan - in which case he is worse off.

OP This is the problem you face when the car does not outlast the time it takes to pay off the finance. I think you might be lumbered. The finance company is not going to want to take responsibility for the condition of the car and the cost of repairs after his has been in your care for any period of time. Have you looked after the car properly? Has it had regular servicing etc?

You need to check your original agreement but where you stand will depend of the terms of the agreement, what type of finance it is and how long you have had the car.

burlington6

Surely OP you don't expect to drive the car for a couple of years, wreck it, then hand it back with not only no cost to yourself but also not paying the £3000 you still owe?

If you do, you need help

pow1983

Thanks for your reply MEM62.


Proper care has been taken with the car, but since day 1 I've had problems with it, in the beginning the garage I bought it from repaired it for free. I had a good going of 6 months without problems after the initial issues, then its just been 1 little thing after another until now big things have gone wrong. Servicing has taken place yearly or less when the dash has prompted it. I've only done 20-25k in 2 1/2 years so nothing particularly taxing for the car.


My aim is to gather all paperwork tonight instead of calling, I'm betting they close at 5:30 anyway.
What do you mean by VT in regards to Gaz83's post?


Thanks

pow1983

burlington6 wrote: »

Surely OP you don't expect to drive the car for a couple of years, wreck it, then hand it back with not only no cost to yourself but also not paying the £3000 you still owe?

If you do, you need help

Some people have said to me they got their final payments written off, so that's why I'm enquiring. And I didn't wreck it, its just fallen apart. I have an easy motorway route to work, 50/60mph tops in rush hour, its had an extremely easy life with me at the wheel.

Gaz83

MEM62 wrote: »

If you are pointing the OP in the direction of VT this may not works as the car would have to be returned in reasonable condition. If he returns it in a poor state then the repair costs may be even more that the current outstanding loan - in which case he is worse off.

OP This is the problem you face when the car does not outlast the time it takes to pay off the finance. I think you might be lumbered. The finance company is not going to want to take responsibility for the condition of the car and the cost of repairs after his has been in your care for any period of time. Have you looked after the car properly? Has it had regular servicing etc?

You need to check your original agreement but where you stand will depend of the terms of the agreement, what type of finance it is and how long you have had the car.

You are right. I am an idiot - skim-read and missed the part about the damage.

somethingcorporate

What car is it? how old is it? how much did you buy it for?