Voluntary termination of a HP with a guarentor.

[aidanio]

Hello all

I'm currently approaching the halfway point of my HP (A car) and looking to VT under the CCA. As i was only 17 at the time of the finance agreement and zero credit history I needed a guarantor to secure finance, now two year on the car has got 80,000 miles on the clock and showing age, despite regular service (Full history) and MOT.
As previously stated i am looking to VT the agreement and was looking for advice based upon the impact on the guarantor and their role in the agreement.
Any advice is welcome and gratefully received.
Thanks,
Aidan.

[R0b]

Re: Voluntary termination of a HP with a guarentor.

Your guarantor is there to cover any payments or outstanding balance if you cannot keep up with your payments. It won't affect you when you VT your agreement as your obligations will be relinquished

[aidanio]

Re: Voluntary termination of a HP with a guarentor.

Thanks for the swift reply Rob!
So if I VT the agreement it releases the obligations of both the guarantor and I?

[R0b]

Re: Voluntary termination of a HP with a guarentor.

Yes it will release the obligations of both of you, provided the vehicle is in a reaosnable condition and they have no reasons to reocver nay monies