Results 1 to 3 of 3

Thread: Voluntary Termination before halfway through

  • Share
  • Thread Tools
  • Display
  1. #1
    thetownfool's Avatar

    Junior Member



    Joined
    Dec 2017
    Posts
    2
    Mentions
    0 Post(s)

    Default Voluntary Termination before halfway through

    Hi All,

    My wife has a seat Ibiza with VW finance and has paid about 6.5k of the original 15k due. and we want rid of the car.

    We now longer use the car and its simply sat on our drive doing nothing which is obviously going to deteriorate its condition. I read somewhere (although now cant find the reference) that we can return the car at any time, as long as we keep paying the finance until we have paid the 50%.

    Any guidance here would be appreciated.

    Thanks

    Carl

  2. #2
    R0b's Avatar

    VIP Member



    Joined
    Sep 2015
    Posts
    4,231
    Mentions
    705 Post(s)

    Default Re: Voluntary Termination before halfway through

    Hi Carl,

    You are right in that your wife can terminate any time before the final payment becomes due. This is set out in section 99(1) of the Consumer Credit Act 1974. If you do terminate the.ln you will be liable to make up the difference between what you’ve paid and 50% of the total amount.

    Of course many lenders will insist that 50% must be paid before you can VT but this is wrong and misleading. If this happens, then you should point out and ask them where it says you need to pay 50% before you can VT - they won’t be able to because the law doesn’t say that.

    They also have duties under FCA rules and The Treating Customers Fairly principle. They can’t expect you to pay any outstanding balance in one lump sum especially where you can’t afford to do that or it will cause you financial hardship.

    If they are refusing to accept your VT I would simply make a formal complaint about it meaning they’ve got 8 weeks to give their final decision otherwise you can go to the Ombudsman. If your forced to make a complaint I would also be seeking a small sum of compensation as it should have never got to that point in the first place if it wasn’t for VW dragging their heels.

  3. #3
    thetownfool's Avatar

    Junior Member



    Joined
    Dec 2017
    Posts
    2
    Mentions
    0 Post(s)

    Default Re: Voluntary Termination before halfway through

    Hi Rob,

    Thanks for getting back to me. I guess we should simply draft a letter requesting a VT and detailing that she wishes to continue to make the payments on the existing agreement until such time as she has fulfilled her commitment to 50%? are then any template available that would make a good starting point for this?

    Many Thanks

    Carl

Similar Threads

  1. Voluntary Termination
    By MarkSur in forum Welcome Forum
    Replies: 0
    : 21st July 2017, 10:20:AM
  2. Voluntary termination
    By Kevinh in forum Welcome Forum
    Replies: 24
    : 26th August 2016, 19:06:PM
  3. voluntary termination of HP
    By sho in forum Welcome Forum
    Replies: 0
    : 9th May 2016, 20:00:PM
  4. Voluntary Termination of PCP/HP...
    By MayDay07 in forum Vehicle Finance and Issues
    Replies: 3
    : 7th May 2016, 09:37:AM
  5. Voluntary termination - Finance company wants voluntary surrender
    By 1970 in forum Vehicle Finance and Issues
    Replies: 9
    : 28th August 2012, 17:08:PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
Contact Us



© Celame (UK) Ltd 2017
LegalBeagles® are DPA Registered No. ZA158014
LegalBeagles® is the trading name of CELAME (UK) LIMITED ( 09220332 )
Registered Address: 25 Moorgate, London, England, EC2R 6AY
VAT registration number 206 9740 02
User Alert System provided by Advanced User Tagging v3.1.3 (Lite) - vBulletin Mods & Addons Copyright © 2017 DragonByte Technologies Ltd.
Feedback Buttons provided by Advanced Post Thanks / Like (Lite) - vBulletin Mods & Addons Copyright © 2017 DragonByte Technologies Ltd. Runs best on HiVelocity Hosting.
Celame (UK) Ltd Powered by vBulletin® Version 4.2.3
Copyright © 2017 vBulletin Solutions, Inc. All rights reserved.

To find out more about managing your money and getting free advice, visit the Money Advice Service,an independent service set up to help people manage their money.

TOP