I have a problem relating to VT of a PCP agreement

[Steve T]

My wife's FIAT is subject to a PCP agreement. She can't drive due to disability so she wrote to the finance company saying that she wanted to VT the agreement. She is well past the 50% mark and the car has just done over 20,000 miles. It is in immaculate condition. She wrote on 7/1/2021 and the letter was signed for on 18/1/2021. They have not responded at all. What is our next step?

[ostell]

So you have VTed the car. You do not need to pay any further instalments and in theory you can cancel the tax and insurance. However you would be liable for damage if there is no insurance in place. If it is off a public road then you can SORN it.

You could phone them up and ask when they are coming to collect the car.

[Steve T]

We are reluctant to stop paying because that would put us into arrears and I drive the car a short distance a couple of times a week just to keep the battery charged. But I suspect that as long as we keep paying they aren't going to hurry. Caught between a rock and a hard place but we are legally allowed to VT the agreement so is there anyone who knows anything we can do under the law to force them to act?

[EnglandPi]

If you're not in default why would they act and how could you possibly force them to act?

[ostell]

They have acknowledge the VT so you are no longer in contract, but you should stop driving.

It has been suggested that if payment is made after a VT then they could consider that you have cancelled the VT and the contract will continue.

Phone them up and get the status.

What exactly was in the letter?

Who did you write to? The garage or the Finance House? Just checking.

[Steve T]

My wife told them that due to her worsening disability she can no longer drive the vehicle. They haven't acknowledged the VT. In fact, she has had no response at all. I have been driving it short distances just to keep the battery charged but will stop now and she will write to them again. She wrote to the finance company because the contract is with them. The dealer that she got the car from has gone into liquidation.