Volvo pcp/fixed term loan

DanielleOHara

Hi all, looking for some advice.

I bought a car 3 years ago from Taggarts Volvo on what I was told was a 4 year PCP.
Recently I've been looking into my voluntary termination rights only to be informed that I infact have a personal loan and as such, I have no rights to terminate the contract early.

The finance is with Santander. I have contacted them and Volvo who are both equally useless in helping me.

I have a copy of the initial agreement which clearly states PERSONAL CONTRACT PURCHASE over 48 months. This was discussed and agreed with the salesman who made no mention of any changes to the proposal.

I believe I have been mis-sold as I was not aware that this car was being sold to me as a personal loan and this is something I would not have agreed to.

Any advice?

marlot

If you have a personal loan, you'll own the car at the end of the term - so might be in a better position that you thought you'd be?

motorguy

marlot wrote: »

If you have a personal loan, you'll own the car at the end of the term - so might be in a better position that you thought you'd be?

Providing he has the funds to pay the balloon payment

motorguy

DanielleOHara wrote: »

Hi all, looking for some advice.

I bought a car 3 years ago from Taggarts Volvo on what I was told was a 4 year PCP.
Recently I've been looking into my voluntary termination rights only to be informed that I infact have a personal loan and as such, I have no rights to terminate the contract early.

The finance is with Santander. I have contacted them and Volvo who are both equally useless in helping me.

I have a copy of the initial agreement which clearly states PERSONAL CONTRACT PURCHASE over 48 months. This was discussed and agreed with the salesman who made no mention of any changes to the proposal.

I believe I have been mis-sold as I was not aware that this car was being sold to me as a personal loan and this is something I would not have agreed to.

Any advice?

You read and signed the paperwork though?

tonyh66

motorguy wrote: »

Providing he has the funds to pay the balloon payment

is there a balloon payment on a personal loan?

I guess the question has already been asked, what does the paperwork say?

how much is the total credit? whats the monthly payment? whats the APR? and is there a balloon payment at the end of the 4 years?

Deneb

I have a Volvo with 50% of the purchase price funded via Volvo Finance (Santander Consumer Finance) on a 0% loan over 36 months - no balloon payment.

I have termination rights and can make overpayments or settle the agreement in full at any time. Coincidentally I received my latest annual statement of account a couple of weeks ago, which included a repeat of these rights and conditions.

Presumably the OP read and understood their contract before signing it and kept their copy? What does it say?

DanielleOHara

Yes and as already stated my signature is on a contract that says PCP. Clearly santander has agreed the credit under a personal loan which I was not made aware of.

AdrianC

What does this paperwork say about the monthly payments, and any future balloon?

How does that compare with what you're paying?

k6chris

Open question - does the phrase "PERSONAL CONTRACT PURCHASE" have any legal meaning or could a 'personal loan' simply be one way of purchasing a vehicle which is indeed a 'personal contract plan'?

Deneb

DanielleOHara wrote: »

Yes and as already stated my signature is on a contract that says PCP. Clearly santander has agreed the credit under a personal loan which I was not made aware of.

So, in the contract that your signature is on, what does it say about termination and other arrangements, as no matter what anyone may be telling you over the phone, the text on the contract that you have signed is what matters?

I think the difference is that I have a conditional sale agreement, whereas you have a personal contract purchase agreement:

https://www.santanderconsumer.co.uk/finance-that-fits/car-finance/personal-customers/

This should all have been apparent in the wording of the document that you signed though.

motorguy

tonyh66 wrote: »

is there a balloon payment on a personal loan?

I guess the question has already been asked, what does the paperwork say?

how much is the total credit? whats the monthly payment? whats the APR? and is there a balloon payment at the end of the 4 years?

Theres a Santander Personal Contract Purchase loan which i think is what the O/P has. It seems to side step hire purchase requirements by being a loan.

https://www.santanderconsumer.co.uk/finance-that-fits/car-finance/personal-customers/personal-contract-purchase/