PCP Car Loan 50% and return vehicle?

Laneyboo

Hi there,

I have been reading some previous posts and also on the citizens advice bureau site regarding ending a car Hire Purchase Agreement early under vehicle termination and understand that you are able to terminate the agreement if you have paid 50% of the agreement.

I am confused though... My Hp Agreement states Total Amount Payable as £9,035 which it would seem includes a voluntary final payment that i can choose to make at the end of the agreement if i want to purchase the car outright. The amount of credit actually given to me is £6,895 and the cash price of the car is £7,645. Considering i am 50% through my payments (i have paid 18 out of 36 payments) what is the 50% off? I mean the amount of credit i was given is less than the car, ive made half the payments but in order to have paid half of the total amount payable that would mean i would have to have paid £4,517.50 or the equivalent of 28 payments. This doesnt seem right to me and i'd like to know where i stand.

Also it reads on the debtline website that "WARNING
You do not need to have actually paid the 50% to be able to terminate your agreement, although some creditors say you do. All that is necessary is for you to give notice to the creditor in writing that you are terminating the agreement."

I completely dont understand this at all, what rights do you have that state you dont have to have paid 50%?..

If anyone could help at all that would be great as i'm a little confused and would like to know whether or not i'm in a position to try and terminate the contract as to me it seems like i've paid 50% if i've paid half of the total number of payments! Help!