Car finance, change of circumstances

Itsallfunandgames

Hi, I'm wondering if anyone can offer any advice or suggestions as to what we can do about our current situation.
We are currently 4 months into 5 year car finance, nothing wrong with the car itself, were happy with it, however we've recently started fostering our nephew and as we have 3 children already, we can no longer all go out in the car together.
We got the finance through 247carfinance, secured the finance first then found the car.
I'm just wondering if we have any options for changing our car, as we didn't get the car and the finance from the same place I don't think returning the car would be an option (if it ever was).
Any suggestions or advice would be greatly appreciated.

molerat

What type of finance is it - personal loan, HP, PCP ?


If a personal loan not secured on the vehicle you can do whatever you wish with the car such as trade in against another one. The problem is that there will likely be a big gap between what you paid and what you can get for it.

Itsallfunandgames

I believe it is HP.

~Brock~

The only statutory right that you have to return a non-faulty car under a HP agreement is via a voluntary termination, however as you are only 4 months into a 60 month agreement this is not feasible as you would be liable for 50% of the total amount payable....with no car to show for it.

Carfinance247 are likely to have acted as a credit broker. Who is your agreement with? You need to speak to them and set out the situation to see what options they can suggest.

foxy-stoat

Find out your settlement figure and the current realistic market value for the car. If there is a difference and you can advertise it stating you have finance, the buyer can settle the finance for you over the phone and give you the difference to buy your next more suitable car with, along with any savings you have.

Some buyers wont like it and steer clear but others may well be happy to do this.

DrEskimo

Find out the best price you can get for the car and compare that against what you bought it for. That's how much of a hit you are going to take, plus the interest you have paid on the finance.

It's exactly the same as though you had bought it with cash, except you have paid 4months worth of interest as well.

If you got it for a good price, or can find somewhere that will give you a good price for it, you may not have lost too much.

You can try to negotiate the trade in of that car against the purchase of another, but generally I find that doesn't work well as they just conflate the prices of the two.

foxy-stoat

If your trading in the car then the finance will need to be settled and you buy with cash (if you have any) or take out another loan.

MEM62

Itsallfunandgames wrote: »

I believe it is HP.

Settle the finance, sell the car and re-finance the new one.