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Car Finance - paying off HP amount early

At the beginning of this month I purchased a brand new vehicle using mostly my own money plus £5k on hire purchase over 18 months at 7%. Without the HP I could not have made the purchase. With the HP I benefited from a manufacturers deposit contribution of £1k plus two services.


I am now fortunately( and unexpectedly ) in a position to pay off the £5k in full . It clearly makes financial sense to pay this off and not pay the 7% interest rate.


Does anyone have any experience, or know whether I will have to pay the dealer, or the finance company, the deposit contribution of £1k, and/or the free services,  if I do indeed pay off the £5k hp?

Thanks 

Comments

  • I have taken manufacturer finance before to benefit from a finance contribution from them.  I have then paid the finance off immediately afterwards.  I have never been asked to repay any contribution I have received.
  • DrEskimo
    DrEskimo Posts: 2,445 Forumite
    Seventh Anniversary 1,000 Posts Name Dropper
    Same as above.

    There is simply no mechanism to ask you to pay an additional amount for settling the finance early.
  • There is always no additional cost for paying early.
    Thanks
    Nice Connection with you!
  • Nebulous2
    Nebulous2 Posts: 5,673 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Do you have anything confirming the two services? 

    Check the qualification criteria.

    I has a Dacia where as well as the contribution I received a warranty extension from 3 to 5 years. The salesman told me I had to pay for 3 months to qualify. The day after my third payment the warranty certificate was emailed to me. I then paid it off. 
  • vaderag
    vaderag Posts: 307 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    I'm thinking of doing similar...

    Does this still apply within the 14day cooling off period?
    Or should I wait until after the cooling off period?
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