VT with Close Motor Finance

[karlfr]

Re: VT with Close Motor Finance

i am very interested in this post as i am going to be doing the same in a week or 2 with the same finance company.

so am i right in saying i can cancel the DD as soon as they acknowledge the VT?

[woodbane]

Re: VT with Close Motor Finance

As soon as you have notified them of the VT then you have effectively ended the agreement.

I chose to not cancel the DD immediately as I was under the impression I may have a couple hundred owing but it transpired I was over the 50% mark anyway so I cancelled once they had confirmed that in writing.

It's been nearly 3 weeks since they collected the vehicle and I've not heard anything yet. I changed ownership to them the day the car was collected and received confirmation from the DVLA by letter that this was done.

Follow the advice laid out in the forum - it's absolutely invaluable! Make sure you keep copies of everything as well.

Good luck!

[woodbane]

Re: VT with Close Motor Finance

Funnily enough the day after I posted that response I got a Notice of Arrears from CMF. It had a clear break down of the loan but I could also see they have now sold the vehicle as it gave a sale value of £4,180 but stated I owed the remaining balance of c.£2k

I immediately checked my credit report to see if there was any marker on my file but there is not.

I then telephoned them and spoke to a customer rep in the accounts department and explained that I had VT'd and didn't owe them anything. She said that the letter is automatic as they had obviously gone to collect the next payment (but couldn't as I have cancelled the DD). She also stated that their system would keep generating the letters until the Collections department closed the file, which is apparently slated for June 14th. She said to just ignore future letters regarding arrears. I confirmed with her that there would be no mark placed on my credit file.

So, given that the vehicle has been sold at auction, I have not received any letter demanding payment for any repairs yet and that there is a note that the file is to be closed on June 14th, I am keeping fingers crossed for a smooth closure to this process, which to be fair has already been fairly smooth sailing! Still, there''s a few more weeks to get a letter yet eh?

[R0b]

Re: VT with Close Motor Finance

Let's hope so just keep an eye on your credit report over the next few months just in case.

[woodbane]

Re: VT with Close Motor Finance

Just a quick update for you.

Having waited for June 14th to roll around and giving it a week on top of that, I called CMF to find out where I stood.

Very helpful customer service rep looked at my account and said that the balance was now zero and everything was being closed.

Two days later I got a letter in the mail with a statement of account showing a zero balance.

About a a week after that I got notification that my credit score had changed (gone up). Logged on and saw that my loan with CMF was marked as paid off or settled to zero balance meaning score has gone up.

It's finished! All done without any snags to mention.

HUGE thaks to Rob for the help and guidance and the forum in general for being here.

Peace out folks!