VT log book query

[Hotseecee]

Hi can anyone please tell me once I inform the loan company that I am terminating my agreement when do I put the log book in their name on the date the contract is terminated or when the vehicle is collected or delivered., I am not driving the vehicle although it is still insured and taxed the tax runs out on the 31st December. I informed them by registered letter and phoned them the agreement ended today.

[ostell]

If you have confirmation that the letter has been received then do it now, on line. Best to leave the insurance till it is picked up just in case of damage. And lots of photos of the car just before they pick it up, and include a photo of the latest newspaper in a couple of the photos.

[Hotseecee]

If you have confirmation that the letter has been received then do it now, on line. Best to leave the insurance till it is picked up just in case of damage. And lots of photos of the car just before they pick it up, and include a photo of the latest newspaper in a couple of the photos.

Thank you, The letter was signed for this morning, I checked the delivery on line, what about the car tax should I tax it if they haven't picked it up by the 31st as it is the holiday season, would not doing so be seen as unreasonable.

[ostell]

Once it's transferred then they have the liability for taxing. Just make sure you can document everything, ie take screen prints if you do things on line. The very fact that you transferred registration to their name means that it is now untaxed.

[Hotseecee]

Once it's transferred then they have the liability for taxing. Just make sure you can document everything, ie take screen prints if you do things on line. The very fact that you transferred registration to their name means that it is now untaxed.

Thank you for being so helpful they tell me they are sending a pack out for me to sign, I said by all means they can send it but that I was not obliged to sign anything I have met the obligations paid more than 50% of the loan informed them of the termination,taken reasonable care of the car and made it available for them to collect at their cost or i will deliver to a local auction house if preferred.

[Hotseecee]

I am a little worried, the car is now untaxed and has not been collected as yet and all contact has been from me to them the person on the phone agreed I could put it back in their name and I have done this on line gov.uk have confirmed this in an email I have also cancelled the direct debit for this month and I will cancel the insurance which is due on the 12th January I sent the VT letter by registered mail and it was signed for on the ,22nd December, I also rang them and sent a VT letter by email to the address they supplied as there was none to be found on any paperwork or web site. And the phone number on the contract is for their Edinburgh office where as the address is for Cardiff, is there anything else I would need to do? As I rang them again today they said they have received the letter of the VT and the email but cannot accept either because they are not signed and they are sending me a letter to sign, do I have to sign anything,they mentioned an outstanding balance of gap insurance and warranty of £20.43 I don't have a problem paying this but it's wrong the insurance was added on to the monthly payments the car was 214.63 monthly plus insurances 20.43 totalling 235.06 per month for 35 months which is 8225 in the contract it states half of the total agreement is 8208.34 as long as this amount is paid, I will not have to pay any more any advice would be appreciated.

[des8]

Consumer Credit Act 1974 Sec 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.


As above the Act does not require that notice be given in any particular format or signed.

Regarding GAP Insurance: probably easiest to give notice of cancellation to the insurers , who should then allow a pro rata of return premium.

RE vehicle insurance, if the car should somehow cause an accident, as the last driver you could be held liable. So if it is parked on the road you may want to keep it insured.

tagging R0b

[Hotseecee]

Consumer Credit Act 1974 Sec 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.
As above the Act does not require that notice be given in any particular format or signed.
Regarding GAP Insurance: probably easiest to give notice of cancellation to the insurers , who should then allow a pro rata of return premium.
RE vehicle insurance, if the car should somehow cause an accident, as the last driver you could be held liable. So if it is parked on the road you may want to keep it insured.
tagging R0b

Hi Rob, Not sure if I posted the reply to your message, received the paperwork today they have not mentioned the Gap insurance that was mentioned in the phone conversation, the paperwork just says as long as the car is in good condition and no excess mileage I should sign to confirm termination and that I will deliver or they can pick it up at a cost £75, the car is untaxed now and it is in their name i am waiting for confirmation of Gov.uk in writing although i have received an email from them saying that I will recieve it within 10 days. The car was 15 months old when I acquired it and had 12500 on the clock the mileage was for 6000 per year, so should have 30,054 but it now has 31621 so it is over by 1567 in the contract it states I should pay 7p per mile, the condition of the car is very good nothing above any normal wear and tear for 4 and half year old vehicle that has had two owners.
should I inform them I will not be signing the paperwork.
should I inform them they have to pick it up at their cost as was stated in the VT Letter as it is in their name and is untaxed
I have cancelled the direct debit can they carry on taking payments now the contract has ended the next payment would be due on the 21st January the contract was terminated on the 22nd December.

[des8]

still tagging R0b who will be able to advise more accurately than I!

[R0b]

Hello sorry I thought I had already replied to this.
Did you inform them that the car tax was about to run out on 31 December? If not, then it is a question of reasonableness as to whether they would be entitled to recover any cost of having the car taxed. Arguably though, you have a limited liability so the answer should be no but only a court could decide that.

There's nothing more I can add than what is already been said throughout the forum in relation to signing the paperwork or paying for the cost of having it collected or delivering it to their nominated address. I suggest you click here to read the VT guide if you haven't already and do a little research on the Vehicle and Finance sub-forum to see what responses have already been given. In short, you don't need to pay them any collection fee nor do you need to deliver it nor do you need to sign paperwork.

Whether you do or not is a decision entirely up to you.