• Welcome to the LegalBeagles Consumer and Legal Forum.
    Please Register to get the most out of the forum. Registration is free and only needs a username and email address.
    REGISTER
    Please do not post your full name, reference numbers or any identifiable details on the forum.

VT - paying final finance payment

Collapse
Loading...
X
  • Filter
  • Time
  • Show
Clear All
new posts

  • VT - paying final finance payment

    Hi everyone.

    I wrote to my finance company on the 28th June advising them that I wanted to VT my car finance agreement. They have agreed to and I had to contact a company they appointed to arrange inspection and collection which is taking place next Wednesday.
    The car finance payment was due today however I cancelled the DD because I didn't want to pay when they are taking the car back on the 6th. They are now saying that as the invoice for the DD was raised on the 25th and I didn't terminate my contract until the 28th I will be liable for the payment and it will be reflected in the final invoice.

    Is this correct and will they invoice me for the full monthly payment or just until the day they collect it?

    Regards

    Debbie
    Tags: None

  • #2
    Re: VT - paying final finance payment

    That's correct, as it was invoiced prior to your notice to terminate it has been accrued and they are entitled to payment this is providing you receive invoices each month. If you do not and your payment is setup to go out on 1st of each month with no invoice then you could argue that as payment was not due and an invoice was not raised prior to it then you are not liable. A more uncertain argument would be to say that the payment was due on 1st and you terminated on 28th prior to the payment and so the agreement terminates immediately.
    If you have a question about the voluntary termination process, please read this guide first, as it should have all the answers you need. Please do not hijack another person's thread as I will not respond to you
    - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
    LEGAL DISCLAIMER
    Please be aware that this is a public forum and is therefore accessible to anyone. The content I post on this forum is not intended to be legal advice nor does it establish any client-lawyer type relationship between you and me. Therefore any use of my content is at your own risk and I cannot be held responsible in any way. It is always recommended that you seek independent legal advice.

    Comment


    • #3
      Re: VT - paying final finance payment

      Thanks Rob. I have never had an invoice from them in the 15 months I have had the car. I assume they mean the 25th was when they request the payment from the bank. I don't know as I'm not entirely sure how direct debits work other than they are set up and payment comes out my account.

      This is what they have wrote to me in an email

      Dear Mrs Bryant,

      *

      Your account was Terminated on 29/06 and as such we would not look to take any further payments that were not invoiced. I can see that your direct debit was cancelled on 01/07 however due to the Monthly instalment being invoiced on 25/06/16 and the termination letter not being received until 28/06/16 you would still be liable for the payment and this would be reflected in the final invoice.

      *

      Kind Regards

      Comment


      • #4
        Re: VT - paying final finance payment

        Well you have two options, pay up or argue that you shouldn't be obliged to make payment.

        If the latter, then you simply need to re-iterate that you received no invoice for this payment, nor have you received any invoice since entering the agreement. Your payment date is 1 of each month and as you have acknowledged that termination took effect as of 29 June, the payment for the 1 July could not have accrued any sooner.

        But you are probably right about the request, usually they will request it a few days in advance like a reserve, I believe is 3 days so they probably requested it on Friday to be transferred on the Monday - whether the DD cycle can be construed as being accrued/owed is an arguable point, but in your defence, you are entitled to cancel any time before the 1 July.
        If you have a question about the voluntary termination process, please read this guide first, as it should have all the answers you need. Please do not hijack another person's thread as I will not respond to you
        - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
        LEGAL DISCLAIMER
        Please be aware that this is a public forum and is therefore accessible to anyone. The content I post on this forum is not intended to be legal advice nor does it establish any client-lawyer type relationship between you and me. Therefore any use of my content is at your own risk and I cannot be held responsible in any way. It is always recommended that you seek independent legal advice.

        Comment

        View our Terms and Conditions

        LegalBeagles Group uses cookies to enhance your browsing experience and to create a secure and effective website. By using this website, you are consenting to such use.To find out more and learn how to manage cookies please read our Cookie and Privacy Policy.

        If you would like to opt in, or out, of receiving news and marketing from LegalBeagles Group Ltd you can amend your settings at any time here.


        If you would like to cancel your registration please Contact Us. We will delete your user details on request, however, any previously posted user content will remain on the site with your username removed and 'Guest' inserted.
        Working...
        X