Finance company refusing to let me do a VT

[HarryBatton]

Hi can anyone advise or help?

I have car finance with Blue Motor Finance and my financial circumstances have changed and i can no longer afford the car. i am at the point were i can do a voluntary termination and rang them to see where i stand and how i go about this, i was informed by the advisor that i could no longer do a VT as my agreement had been terminated due to a default notice and they have entered me into a pre contract to keep the car.
Last year May/June time i rang as i had difficulties paying that months installment due to a financial emergency that took priority over anything else. i rang BMF to explain this and see what i could do, I.E if it was possible to have 1 month payment holiday. this was flatly refused as they don't offer this service and i was told by the advisor to cancel my DD and then ring up and make an arrangement to pay the arrears over a period of time (3 months) and everything would be ok.
I then received a alarming letter basically saying i had defaulted and they wanted the car back and still chase me for the full balance! i rang them and after speaking to a rude and very abrupt advisor who wasnt interested in what i had to say or was advised by his colleague, i set up a payment plan over 3 months to pay the 1 month i missed. i have looked on my credit report and there is no history of any defaults against my account only 1 month arrears which is now paid off and fully up to date.
My question is how can they terminate my agreement and i still have to make the payments and for them to enter me into a pre contract agreement to keep the car without my say so and i didnt sign any new paperwork to state i was happy to do this.
I still need to VT the vehicle so is there anyway i can still do this? are BMF just trying it on and hoping i leave it and carrying paying my finance even though i cant afford it?

any advice and/or help is very welcome!

thanks in advance

[R0b]

You lose the right to VT once the agreement is terminated. At the time of termination, you could have made an application to the court for what is known as a Time Order in which the court has the power to reinstate the agreement as if not termination took place and then make arrangements to repay the default amount. Instead, you entered into an agreement to repay the outstanding balance and in return BMF have allowed you to continue using the car and that's it.

If you feel hard done by or that what I've said is wrong, all I can suggest it make a formal complaint to BMF and then take it to the Financial Ombudsman for a decision.

[HarryBatton]

Thanks,

i wasnt even aware they agreement had been terminated and only found out when i rang to ask about the VT and wouldnt know my rights to apply for a time order if i did. i will have to make a formal complaint to BMF an see how i get on.

[Nicolowe1980]

Hi can you let me know what the outcome of this was please as I am in a similar position right now with bmf

[pt2537]

~Just read through the above posts, one point id have flagged up is the agreement can only be terminated for breach by service of a compliant default notice, we know this from among others PRA and Doyle and also Harrison v Link. So if the Default notice is defective they cannot terminate the agreement. That could have opened a door to VT.