Car finance

kierancurtis

I have re handed a car back to the finance company Around 6 months ago, they originally advised me to voluntary surrender the vehicle and I would owe maximum £1000 based on what the car is worth and my settlement figure, so this is what I done. They are now trying to say it’s based on the original agreement (with interest) and now owe £4000. Now, if this was the case I wouldn’t of handed the car back. 

Where do I stand with this? 

foxy-stoat

Did they advise in writing or over the phone? 
How have they advised you that you owe £4,000, does it include repairs/servicing?

I assume the person chatting to you thought you have reached the half way point but obviously not, unless the £4,000 is including repairs.

At the moment, without clarification, you stand with no car and owing £4,000.

WaywardDriver

You say Voluntary Surrender rather then Voluntary Termination - see https://www.thecarexpert.co.uk/car-finance-voluntary-termination-pcp-hp/#:~:text=There%20is%20a%20big%20difference,whatever%20is%20left%20to%20pay. which says:
Under a voluntary surrender, you give back the car but still owe whatever is left to pay. The finance company will sell the car at auction (adding on extra costs for collecting and disposing of the vehicle) and then come after you for whatever you still owe. This is pretty much a worst-case scenario, as the finance company will still be chasing you for money even though you’ve already given back the car.

MinuteNoodles

It is always based on the original agreement. It is the FULL original value of the car owed, not just the bit financed if on PCP, less what you've paid off (deposit and capital repayments) plus what they get when they sell it. If there's a balloon payment to have been paid then that is included in what is owed.

kierancurtis

It was all said over the phone.. I’ve told them they can listen to the calls etc. - and yeah voluntary surrender because that is what the guy advised me to do. If I had known this would have happened, I would have never given the car back