Voluntary Termination

krisde83

I have a question regarding VT on my current PCP car finance. I have just over a year to run but i have now paid more than 50% of amount payable (includes balloon payment). Car was bought 2017, however i did not have the car serviced in 2018 ( i know totally stupid and only have myself to blame). It was serviced last year and will be serviced this year if i keep it.
I am struggling with finances due to change in employment and car would be first thing to go.
How much do you think finance company would be likely to charge for a missing service?? Even if i keep the car for the remainder of the contract i'm guessing ill still have a fee to pay at the end due to missing service.

Anyone with any information or experience of this would be greatly appreciated.

AdrianC

Yes, of course you'll have to pay under the fair wear and tear - you were required to hand the car back in a certain condition, and a missed service is outside that agreement. FW&T is enforceable under a VT, as well as at the end of the contract. The only time you won't pay is if you buy the car by paying the balloon at the end.

How much? Depends on the financier and the car.

Remember, any remaining manufacturer warranty has been voided by the missed service, and the value of it has been hit.

loskie

some cars(BMW , Skoda) are serviced every 24m are you sure yours is 12

neilmcl

loskie wrote: »

some cars(BMW , Skoda) are serviced every 24m are you sure yours is 12

Not every 24m but as required, otherwise referred to as variable servicing or CBS (condition based servicing).

DrEskimo

Before going straight to VT, get a trade value for the car based on its current mileage, year and condition (i.e without the service). Make sure to get lots of different quotes as they can vary a lot. Online brokers, indie garages and main dealers.

See how that compares with your finance settlement figure. If it's the same/greater than the amount you owe, you can simply trade the car in and not worry about VT it and getting additional charges.