Voluntary Termination of PCP/HP...

[MayDay07]

Thank you Rob for the detailed advice including template letters, much appreciated believe me including other members comments.
This is going to sound crazy but I am only 14 months into my agreement so have in no way paid off half, where do I stand now as I am just unable to continue with my present payment plan. This is not a position I like to be in or could have predicted but have no alternative. I fully understand I will be liable to pay shortfall once car has been taken back (if they accept my letter of termination?) and auctioned off, the figure will be high but not as high as it is now. I have offered voluntary monthly payments to which they appeared almost not willing to accept, but at least I am offering to still pay surely that has some merit? Thanks

[R0b]

Re: Voluntary Termination of PCP/HP...

Well you can VT at any time by giving notice, the balance up to 50% will be a debt, of which they can take you to court for non-payment although they do have to take into account the FCA rules because they are regulated. Where you genuinely cannot make repayments hence the reason to VT that should be taken into account instead of putting pressure and adding more fees.

You should offer something that is affordable to you based on your income, and be realistic - £10 per month probably isn't going to cut it unless you really have no cash at all. You might need to do a budget sheet and use that as proof of outgoings. If they are still not willing then you can make an official complaint and take it to the ombudsman if they reject your initial complaint. The ombudsman may be more sympathetic towards you than the courts plus it means you will not get a CCJ which will of course affect your credit rating for the next 6 years.

[MayDay07]

Re: Voluntary Termination of PCP/HP...

Well you can VT at any time by giving notice, the balance up to 50% will be a debt, of which they can take you to court for non-payment although they do have to take into account the FCA rules because they are regulated. Where you genuinely cannot make repayments hence the reason to VT that should be taken into account instead of putting pressure and adding more fees.

You should offer something that is affordable to you based on your income, and be realistic - £10 per month probably isn't going to cut it unless you really have no cash at all. You might need to do a budget sheet and use that as proof of outgoings. If they are still not willing then you can make an official complaint and take it to the ombudsman if they reject your initial complaint. The ombudsman may be more sympathetic towards you than the courts plus it means you will not get a CCJ which will of course affect your credit rating for the next 6 years.

Thank you once again R0b....

[MayDay07]

Re: Voluntary Termination of PCP/HP...

I wrote a letter to FC in early April explaining my situation again (had already called them in March) & informing them that I would be making VT payments of £50pm until such time as my circumstances improve. Believe me if there was another better way....
Now it is a case of waiting to see what they have to say or do. I hope you won't mind if I come back to you again..?