car finance ? con or not

marliepanda

DoaM wrote: »

Presumably that's a typo and should be 65 plate ... you wouldn't pay £12k for a 56 plate.

You could sell a 56 plate for 3k though...

angryparcel

even if you did not hand it back and the court enforcement officers arrived and took the car, they would still sell it at auction and you would still have the remainder of the loan to pay.

Just like if you were in an accident and the car written off in the insurance does not pay off the loan then you would still have to pay the remainder.

so it is not a rip off, it is business and your OH signed a loan agreement for 12K, car sold for 3K, so OH still owe 9K + Interest.

you also say they took the car off you for a short while, this would have added costs to the debt

pinkshoes

sheree_duke wrote: »

The car was a Ford mondeo titanium sport 56 reg..he gave it back and they said they'd let him knw what he had to pay once it was sold...I'm not sure interest rate. He had the car Aug 2016..they took it in Feb...we had it bk March...then gave it back mid may as it was 450 a month. No damage...no changes...and they weren't interested in making the payment plan any cheaper as he did try. Just found it odd as it seems he hadn't paid nothing off

What you need to do is work out what the car *should* have been worth when to was handed back.

You also need to let us know what the interest rate was.

Have you been given all the settlement figures? It should tell you the value the car sold at (which will be bellw what it was worth).

When you took out the £12k loan for the car, it should also have stated how much you would pay overall. The settlement would be this amount minus what you have paid so far, minus the value they sold the car for.

E.g. If the £12k was borrowed over 36 months at 10% interest payment, you would actually be paying £13,850 for the car (approx).

sheree_duke

In all fairness I knw nothing about cars... Finance etc I owe no one a penny if I can't afford it I Dnt get it simple... Also I knw u get nothing for nothingim far from naive but something should have been paid off it just seems that we have more left now then he borrowed left after it sold....Just checked it was 59 plate

sheree_duke

He sed the 12k was with the interest etc

OlliesDad

sheree_duke wrote: »

In all fairness I knw nothing about cars... Finance etc I owe no one a penny if I can't afford it I Dnt get it simple... Also I knw u get nothing for nothingim far from naive but something should have been paid off it just seems that we have more left now then he borrowed left after it sold....Just checked it was 59 plate

If there was only a few payments made it is likely the fees for collecting the car and selling it will eradicate any payments made so far.

Is the 12k including the interest? If the car was bought on a high interest deal it is possible the base price of the car is only half this value - this would fit with it only being sold for £3k.

Edit - sorry, cross posted.

marliepanda

sheree_duke wrote: »

He sed the 12k was with the interest etc

You need to get some actual figures from paperwork from him. You don't know enough information to give people to actually help you.

You need the contract, the finance agreement, any information from the bailiffs etc.

Removing a car isn't free. Selling a car for you isn't free. He also missed at least two months payments.

The interest could have been preloaded which means that all he's done is pay off some interest and none of the car, but you don't ACTUALLY know what he paid for the car.

sheree_duke

I'll just have to wait for him to get home and give me the paperwork

Fosterdog

What was the actual purchase price of the car? If he had bought it cash with no loan?

How much deposit did he pay if any?

How long was the loan for?

What was the interest rate?

What does the loan agreement say about additional charges? (I'm yet to see one that doesn't charge at least an admin charge for missed payments etc.)

How much did he pay back to get the car back?

The only thing that doesn't sound right to me is the initial cost of the car, £12000 for a 7 year old mondeo seems high to me, we test drove a four year old mondeo titanium with low mileage a couple of years ago and that was being sold for £6000, even allowing for model variants double the price for a car almost double the age something is wrong. A quick browse on auto trader is showing the most expensive one of that age is £6500, most are in the under £4000 mark.

neilmcl

Fosterdog wrote: »

The only thing that doesn't sound right to me is the initial cost of the car, £12000 for a 7 year old mondeo seems high to me, we test drove a four year old mondeo titanium with low mileage a couple of years ago and that was being sold for £6000, even allowing for model variants double the price for a car almost double the age something is wrong. A quick browse on auto trader is showing the most expensive one of that age is £6500, most are in the under £4000 mark.

Unless I'm missing something it was £12K worth of finance for a 10 year old Mondeo!

Something doesn't quite add up about this at all.

Edit: Just noticed the OP's later post where they're now saying it's a 2009 car. Still doesn't sound right to me.