Possible write off early in PCP and no GAP

Quentin

peterz wrote: »

I take it this needs to be done by a specialist solicitors or is this something my insurance can do?

If you have "legal cover" with your policy they will do it

But no need for a specialist sol ( unless you have any injuries).

You can DIY - send a letter to the insurer with proof of your expenses incurred

System

peterz wrote: »

Ok, many thanks, as I expected. This presumably is the difference between the paid value and a early settlement figure from Black Horse, which I hope won't be the full sum they have expected on the end of the 3 year agreement?

Yes it will include the balloon payment. Basically it will be whatever the settlement figure is for the portion of the full price you put on PCP on the day you settle it plus the balloon payment. Without including the balloon payment they'd only get reimbursed for say 50% of the vehicle without a vehicle being returned to sell on to recoup the balloon payment portion.

peterz

Tarambor wrote: »

Yes it will include the balloon payment. Basically it will be whatever the settlement figure is for the portion of the full price you put on PCP on the day you settle it plus the balloon payment. Without including the balloon payment they'd only get reimbursed for say 50% of the vehicle without a vehicle being returned to sell on to recoup the balloon payment portion.

Thanks, what I meant was presumably the settlement figure will include only a portion of the interest I was going to pay over the 3 year contract and not the the complete figure stated in the final overall payment As I only have the bike for less than a month from a 3 year contract?

DrEskimo

Yea it will only include interest costs incurred over the days you have had the agreement.

Given its only been a few weeks, expect your settlement to be slightly higher than the purchase price - deposit.

It's very easy to get a settlement figure. Just ring with your agreement number. Most of the time it's automated. Some even offer an online account to look at full and partial settlement figures.

JollyGreeNGiant

Sounds like a painful experience, on the bright side at least you came out relatively unscathed @peterz!

A side note to bear in mind (that isn't overly helpful at this stage but should save you money in future - hope you have a bit more luck with the settlement!), don't rely on GAP insurance from the dealer or finance company in future as it'll be expensive.

Third party GAP Insurance providers will offer the same protection for considerably less - to cover outright purchases or finance agreements.