Help with my hire purchase agreement

paul_segs

I've had my hire purchase car for a couple of years now and am thinking about looking for an upgrade. What do I need to look for in my agreement to work out whether I can trade my current car? And how can I work out how much it might cost?

neilmcl

Trading in your car mid agreement is never a good idea, definitely not MSE. However if you really must, and tbh now is the worst time to start looking for a new car, then you need to find out what the settlement value is from your finance provider.

molerat

You can trade in at any time.  You need to contact the HP co and ask for a settlement figure. That is how much you need to pay to buy the car off them.  You then compare that against what the dealer is willing to give you against the new car.  There will also be a VT figure, half the total agreement amount, where you can just hand the car back to the HP co and walk away. At the moment though, unless your current car is something special that a dealer will be able to shift easily or the car you want to buy has a very good margin for them. they are unlikely to offer you anything close to its "value".