Car loan balloon agreement VT

[Lilsters]

Please can you give me some advice with regard trying to VT a FGA capital car loan balloon. I have used the template shared on another thread and sent this to FGA and this is their response:-
Thank you for your email. Due to the agreement type you have, a Motor Loan, you do not have the right to a Voluntary Termination. As your agreement is not secured on the vehicle, we hold no interest in it. If it is the case that you no longer wish to keep the car, you can look to sell it then use the funds to settle the current balance.

The agreement says its a motor loan balloon, where do I go from here? I am going to be left with a huge balance outstanding even if I sell the car and am struggling to make the repayments. I am just over halfway through the loan.

I don't understand how you can just sell car as there is a balloon element to pay at the end. Their offer to buy back at the end to cancel outstanding balloon balance would be based on condition of car and mileage!!!!
any advice would be gratefully received.

[Guest]

Re: Car loan balloon agreement VT

HI Listers

I do not think what you have is applicable for VT, it sounds like a fixed sum loan, which was used to buy the car, as apposed to a HP or conditional sale agreement.
If this is the case they are correct in saying that you are free to sell the car at any time and use the money however you wish,(ie repaying some of the loan).
If you want me to check the agreement for you to ensure this is the case you will have to put it on here, minus any identifying data(name address etc.)