Tweet
Hello
I had a vehicle on hire purchase and due to apply for a mortgage later this year so want to reduce my outgoings . Also have another car that I’ve paid outright for , so no longer need this car. I will try to explain everything however very new to this.
I wrote to the car finance company when I knew I was approaching the time when I could exercise my right to voluntarily terminate . I paid the remaining balance owed of £11.58 to bring payments up to 50%. All my direct debits were up to date.
Finance company wrote to me saying I had two options, 1) Voluntarily Surrender (a default marker would be placed on my credit file), or Voluntary Termination. Obviously I opted for Voluntary Termination.
I was advised to maintain all direct debit payments until the vehicle was collected. I received a receipt for collection and they advised they would be in touch to say if I had a final bill if the car was classed as being over normal wear and tear. I’m absolutely fine with this and will make payment immediately. My priority is no negative markers on my credit report.
My direct debit was due to be taken 7 days following the day my car was collected. I then started to receive automated text and emails to say I had missed a payment.
I telephoned the finance company and they verbally told me to disregard these as they are automated.
I emailed the finance company because I wanted evidence in writing , and received this email back ;
Thank you for your email.
As your agreement currently remains live you may receive automated correspondence regarding payments, however this can be disregarded. Once the vehicle has been independently evaluated our final balance team will be in touch to discuss if any repair costs are liable.
I received no further automated calls or texts , until today when I opened two letters , one of which states
‘Notice of Late Payment’ , and ‘Notice of Default Sums’.
This got my heart racing as I thought they were placing a default on my account.
I phoned the finance company again and they explained that it was a system generated letter and that whilst my car is being assessed the system doesn’t know this and thinks I’ve missed a payment. The advisor said he has placed another note on my account as it’s been 2 weeks and I’ve still not had the car examined.
I have ensured I have kept all correspondence, but I’m very worried that they will update my credit report to show missed payments . When I phone the car finance company after I’ve passed the security questions they immediately say ‘how are you wishing to pay your outstanding balance today?’. I then have to explain that I do not owe anything and that I voluntarily terminated the agreement, and then they say ‘oh yes I can see it’s waiting to be inspected, please disregard any system generated correspondence, we will be in touch once it’s been inspected’.
this is causing me no end of stress :-(
I suppose I’m just messaging for reassurance .
thanks
Nicola
I had a vehicle on hire purchase and due to apply for a mortgage later this year so want to reduce my outgoings . Also have another car that I’ve paid outright for , so no longer need this car. I will try to explain everything however very new to this.
I wrote to the car finance company when I knew I was approaching the time when I could exercise my right to voluntarily terminate . I paid the remaining balance owed of £11.58 to bring payments up to 50%. All my direct debits were up to date.
Finance company wrote to me saying I had two options, 1) Voluntarily Surrender (a default marker would be placed on my credit file), or Voluntary Termination. Obviously I opted for Voluntary Termination.
I was advised to maintain all direct debit payments until the vehicle was collected. I received a receipt for collection and they advised they would be in touch to say if I had a final bill if the car was classed as being over normal wear and tear. I’m absolutely fine with this and will make payment immediately. My priority is no negative markers on my credit report.
My direct debit was due to be taken 7 days following the day my car was collected. I then started to receive automated text and emails to say I had missed a payment.
I telephoned the finance company and they verbally told me to disregard these as they are automated.
I emailed the finance company because I wanted evidence in writing , and received this email back ;
Thank you for your email.
As your agreement currently remains live you may receive automated correspondence regarding payments, however this can be disregarded. Once the vehicle has been independently evaluated our final balance team will be in touch to discuss if any repair costs are liable.
I received no further automated calls or texts , until today when I opened two letters , one of which states
‘Notice of Late Payment’ , and ‘Notice of Default Sums’.
This got my heart racing as I thought they were placing a default on my account.
I phoned the finance company again and they explained that it was a system generated letter and that whilst my car is being assessed the system doesn’t know this and thinks I’ve missed a payment. The advisor said he has placed another note on my account as it’s been 2 weeks and I’ve still not had the car examined.
I have ensured I have kept all correspondence, but I’m very worried that they will update my credit report to show missed payments . When I phone the car finance company after I’ve passed the security questions they immediately say ‘how are you wishing to pay your outstanding balance today?’. I then have to explain that I do not owe anything and that I voluntarily terminated the agreement, and then they say ‘oh yes I can see it’s waiting to be inspected, please disregard any system generated correspondence, we will be in touch once it’s been inspected’.
this is causing me no end of stress :-(
I suppose I’m just messaging for reassurance .
thanks
Nicola
Comment