written off car on finance - like for like car - help?!?

mitchjaycole

Hi all,

I have recently written of a car on finance with Barclays Partner Finance. Because the car was newer than 1 year my insurance have offered a like for like car.

Barclays, the finance provider, refuse to accept the like for like car and are requesting the settlement amount. The settlement amount is 14k however my insurance are unlikely to to value this amount and thus I would have to make up the difference.

I am contracted to the fact that Barclays must receive the settlement amount however I am trying to complain/convince Barclays to accept the car offered by my insurance (which has the same value, if not more, than the written off car (exactly the same car)) and secure it against the finance and I would carry on paying the finance as normal.

Needless to say should they not accept the new car I am stuck with a debt and no car - whereas if they accepted the new car (my insurance have said they will provide this should Barclays agree) then I would be sorted. Barclays would not lose out from what I am requesting.

I have managed to have this escalated to Barclays legal department and I am awaiting a response but I was curious for any advice should they decline to help me. I have signed an agreement saying they need settlement in event of write off but is there anything I can do? Also curious if anybody else has managed to get a finance company to change the agreement?

Any help would be muchly appreciated!

Thanks, Mitch

AdrianC

Mitchjaycole wrote: »

I have recently written of a car on finance with Barclays Partner Finance. Because the car was newer than 1 year my insurance have offered a like for like car.

Barclays, the finance provider, refuse to accept the like for like car

As is their right.

and are requesting the settlement amount. The settlement amount is 14k however my insurance are unlikely to to value this amount and thus I would have to make up the difference.

Yep, that's what gap insurance is for.

Needless to say should they not accept the new car I am stuck with a debt and no car

Is there anything to stop you accepting the replacement car, then selling it to repay the debt?

m1tchjc

Hi Adrian,

Thanks for your reply. Just realised I have an account so replying on my one rather than a newer one I created for the sake of posting this thread.

Yeah I completely appreciate that it's their entitlement, as unfortunate for me as it is!

From what I understand the insurance have to pay out directly to Barclays considering they own the car.

My thread is more towards the likelihood of me being able to convince Barclays to amend the agreement - which I'm pretty sure they can as long as both parties agree, but of course it's a big firm so difficult to get an exception made.

More wanted to know if anybody in a similar situation managed it and how they did it. I know legally their covered but of course I want to do what I can!

Mitch