Handing a Caravan back to the finance compnay

[merseygirl]

Hi all, i hope you can help me with some advice. We currently own a holiday caravan, we paid half the amount in cash and got the remainder with credit. Our family circumstances have changed since my partner became ill and we can no longer afford to keep up with the payment. We heard something about being able to just hand it back to the company, although we would loose the money already invested its a small price to pay in regards to the stress of finding the extra money now.

I heard that you have to have paid at least half the amount you borrowed is this right? or is the fact we actually paid 50% in cash included in this? we owe 15K and we put in just over 17K ( 2 years ago) so we have around £12k left

Thank you for any help :happy1:

[enaid]

Re: Handing a Caravan back to the finance compnay

The information you are after should be in the T&Cs either with the loan company or the people you bought the holiday home from, have you had a read of them?

[merseygirl]

Re: Handing a Caravan back to the finance compnay

yes it says we have to pay 21K which is half the total amount(42K), so im assuming the £20k we have already paid is this ( plus we have to add 1k )?

[enaid]

Re: Handing a Caravan back to the finance compnay

Well that's how it seems but as with everything check with finance company and get it in writing exactly how much you owe and the procedure for handing it back, also what details must go to the site owner.

[Sparkie1723]

Re: Handing a Caravan back to the finance compnay

yes it says we have to pay 21K which is half the total amount(42K), so im assuming the £20k we have already paid is this ( plus we have to add 1k )?

It is more likely than not that you will still have to pay the balance of what is owed.......less the amount the Caravan if sold again after hand back ..............The CCA says that if you have paid more than a third of the total amount ....they cannot take it back without a Court Order ....but as you want to hand it back ....they do not need a Court Order.

Sparkie

[merseygirl]

Re: Handing a Caravan back to the finance compnay

im not quit sure i understand, are you saying even if we have paid half the total amount we still may have to pay the full credit amount?

The van was worth, new £36K, we paid 20K the rest was the credit plus the credit interest, the aggrement states half the total price has to be paid which im thinking we have with what we have paid so far to the credit comapny plus the cash payment

[Sparkie1723]

Re: Handing a Caravan back to the finance compnay

im not quit sure i understand, are you saying even if we have paid half the total amount we still may have to pay the full credit amount?

The van was worth, new £36K, we paid 20K the rest was the credit plus the credit interest, the aggrement states half the total price has to be paid which im thinking we have with what we have paid so far to the credit comapny plus the cash payment

In a nutshell yes ...you will be required to pay the full amount of the agreement.........less as I said any proceeds from the sale of the Caravan if and when it is sold.
The agreement is flawed .........IT is if you have paid one third of the amount which would be £12,000.........I would get proper leagl advice as I think you will be advised that the agreement is unenforceable.......if the agreement says half the total of the amount borrowed.

Sparkie