VT - help please

[owen2014]

Hi All,

After some advice - I have a car on finance with Advantage. I am looking to VT as no longer can afford the car due to maternity.

The breakdown is as follows.

Paid to Date: £3091.40
1/2 Point: 3934.68 (this is taken directly from documents)

What I am wondering is if I can start the process of VT now i.e. send letters and then send a cheque for the difference of £843.28 to take it up to the 1/2 point.

The reason being is my father has bought me a cheaper car outright but I am obviously paying 2 insurances & costs etc..?

Thanks

[Guest]

Re: VT - help please

Hi All,

After some advice - I have a car on finance with Advantage. I am looking to VT as no longer can afford the car due to maternity.

The breakdown is as follows.

Paid to Date: £3091.40
1/2 Point: 3934.68 (this is taken directly from documents)

What I am wondering is if I can start the process of VT now i.e. send letters and then send a cheque for the difference of £843.28 to take it up to the 1/2 point.

The reason being is my father has bought me a cheaper car outright but I am obviously paying 2 insurances & costs etc..?

Thanks

Yes you can, you do not need to repay the amount before the VT you can pay afterwards if it is more convenient.
I would put the VT request in ASAP and tell them that you wish to return the car. Usually I find it is best to state that the next payment will be the last under the contract and give them 14 days notice, this means putting the request in half way through the repayment period. Lenders generally try to use there own paperwork, there is no problem in theory with this , but ensure that you do not sign anything before you read it, if you are unsure then, DO NOT SIGN. There is nothing that they can do to prevent you VT ing your vehicle it is your statutory right.

When calculating how much you have paid be sure to include any deposit this will contribute towards the 50% figure.

As a matter of interest , what is the resale value of the car ?

[owen2014]

Re: VT - help please

Hi,

I will send the VT doc's off tomorrow then - My payments are due on the 1st so I will allow 1st November payment to go. Cancel after that.

Just on the point about deposit - I paid £300 pound deposit to the garage to get the car.

I have just looked at the documents and it says 1/2 point = £3934.68

Including the 1st November payment I have paid to date = £3091.40

Are you saying that the £300 deposit contributes to that figure??

I doubt the the car will cover any settlement figure as the APR was horrendous - car is worth about £2000.00.

Thanks

[Guest]

Re: VT - help please

The calculation is all money paid, including deposit, this total should then equate to half the agreement price, if not the difference is due.

Is your deposit not included on the agreement ?

[owen2014]

Re: VT - help please

Yes it is - I have just checked.

So total left to pay is £543.28 to VT.

I am just wondering if I send the VT letter tomorrow do they have to accept it even though 50% techinally hasnt been paid yet?

I have no issues making the payment to bring up to 1/2 but wont be able to do this until 20/11. Just want the car gone now so can stop paying tax/insurance etc..

[Guest]

Re: VT - help please

Yes it is - I have just checked.

So total left to pay is £543.28 to VT.

I am just wondering if I send the VT letter tomorrow do they have to accept it even though 50% techinally hasnt been paid yet?

I have no issues making the payment to bring up to 1/2 but wont be able to do this until 20/11. Just want the car gone now so can stop paying tax/insurance etc..

Yes they do, although they will undoubtedly state otherwise, they cannot refuse, the legislation is clear, the hirer can terminate at any time before the last payment is made.

[Guest]

Re: VT - help please

• In case you have to quote the section of the CCA 1974
  
  99 Right to terminate hire-purchase etc agreements
  (1) At any time before the final payment by the debtor under a regulated hire-purchase or
  regulated conditional sale agreement falls due, the debtor shall be entitled to terminate the
  agreement by giving notice to any person entitled or authorised to receive the sums
  payable under the agreement.
  
  
  

[owen2014]

Re: VT - help please

ok great.

will send the VT letter tomorrow - templates from this site ok?

[Guest]

Re: VT - help please

By my own fair hand

[Wombats]

Re: VT - help please

Andy, just to be sure - if there has been a part exchange involved, that too counts as part of the deposit doesn't it?

[Guest]

Re: VT - help please

Andy, just to be sure - if there has been a part exchange involved, that too counts as part of the deposit doesn't it?

Yes anything that contributes to the TAP figure(total amount payable)

[owen2014]

Re: VT - help please

I am dropping the car off at stoneacre tomorrow - is their anything I should ensure in do to make sure I don't get any hassle

[Wombats]

Re: VT - help please

Photographs with a copy of tomorrow's newspaper in them to prove condition, especially the extent of any damage.

Don't sign anything at all with which you are not 100% comfortable.

[owen2014]

Re: VT - help please

The car has an mot but i have misplaced the cert..will this be an issue?

[Wombats]

Re: VT - help please

The car has an mot but i have misplaced the cert..will this be an issue?

It shouldn't be, but print the results of this off in case:

https://www.gov.uk/check-mot-status