I regret taking a car lease, can I cancel?

Ciwan

If I call them and say I wish to cancel my lease, I'm sure they'll ask why. Is it OK if I say I'm broke, and I want to get out of debt?

comeandgo

Fireflyaway wrote: »

Call the company and ask. Ensure you have a pen to write everything down and ask them to repeat anything tricky.
I handed a car back and the deal there was that provided I had paid at least half of the original loan amount, I could hand it back with no penalties.

Was the deal HP or Lease? I know handing back HP is very easy after half of payments made.

Ciwan

@comeandgo I've just looked at the document again, right at the top it says

HIRE PURCHASE AGREEMENT REGULATED BY THE CONSUMER CREDIT ACT 1974

Ciwan

I just called International Motors Finance and told them that I was broke and had a lot of debts and felt that I cannot make payments. The lady said:

That's fine Mr Ciwan, I'll order the voluntary termination paperwork and send that out to you.
That will have all the details.

I'm dreading those "details" now._pale_

[Deleted User]

Ciwan wrote: »

I just called International Motors Finance and told them that I was broke and had a lot of debts and felt that I cannot make payments. The lady said:



I'm dreading those "details" now._pale_

I came across this recently with a neighbour's son. I fear that you have only two options:

End the agreement and be asked to pay £3178.50 immediately and have no car. (£5865 less £1500 less (7 x £169.50) I am sure that some other administration fee or suchlike will suddenly materialise!

or
pay another 19 payments of £169.50 and then end the agreement.

Aside from anything else you still need a car - seems like the second option is the only realistic road to go down (no pun intended)

Ciwan

Ouch, that would be very painful.

fruitloop04

My sister has just handed her car back but she had paid over half the payments. She read up loads on MSE website and it said DO NOT sign the papers they send you. If you sign the papers then you commit to paying extra fees which you don't need to. Research everything before you do anything.

Ciwan

hmm, I do not recall signing papers after going out of the Hyundai dealership, but whilst at the Hyundai dealership, I did sign a bunch of stuff cause I was being asked to sign them.

fatbelly

You need a strategy to deal with the whole debt (50k is substantial) and then work out how you will deal with the HP debt as part of the whole strategy.

This factsheet will be useful for that part, and National debtline may be very useful for the overall strategy

https://www.nationaldebtline.org/EW/factsheets/Pages/hire-purchase-debt/hire-purchase-and-conditional-sale.aspx

Will_Craig

Morning Ciwan,

I've read through the whole of this thread and it seems like a really unfortunate situation. Sadly, it's one I hear about quite a lot.

Would you be able to clarify what type of finance deal you are on? Since you mention a balloon payment, I'm guessing it's a Personal Contract Purchase (PCP) deal?

Kind regards,
Will