Got car on HP in Oct,but jul my 3yrs old son was award mobility car, tax, insur and main included. Phoned finance company to returning car, got told keep car and payments up or they repos car sell it at auction.Worth £5500 if sold privitly, not get that at auction,( they know that) This is wrong!still gona want bout £6000 off me, full finance was about £9400 and they know they can do this! This is very unfair, tried getting loan to pay them off, now missed 3mths payments, harassing me daily, on antidepres, can'nt deal with it. Phoned to tell them to take car as there is no other way out, Got a letter asking for £70 fee,surrender document, valid MOT certif, but tax and mot has just expired. Not senting them £70, and renewing mot and tax, don'nt see why i should, already gona want £6000 or more off me, so can i sell car, keep money and pay them full finance for next 20yrs, why should they win when this is all wrong!
2006-09-16 23:03:57 · 9 answers · asked by Anonymous in Cars & Transportation ➔ Buying & Selling
If the car was stolen and found destroyed, the insurance company would pay you out for it. You would be able to pay off the car loan with money left over.
2006-09-16 23:12:57 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You can sell the car but you then have to pay the finance company the value of what you owe them on the capital amount at the time of the sale. You don't pay them on the finance charges up until the contract ends. Most finance houses calculate that the interest on the deal is paid as a majority of the repayment and then the capital amount is paid towards the end of the contract. It is better to finalise the sale as soon as possible as the more you do not pay the more you will pay on overdue fees. They do not care how much you sell the car for. All they want is the outstanding amount. Get as much as you can and cut your losses and put this down to experience. Good luck and remember that banks and finance companies always win. Look at the share prices.
2006-09-17 06:16:12 · answer #2 · answered by AGHOST 2 · 0⤊ 0⤋
No you cannot sell the car yet - it does not belong to you until the payments are complete - you have currently hired it - that is why it is called hire purchase.
Go to your bank and borrow the money to pay the amount outstanding, and pay the HP company, then the car will be yours to sell, and you can sell it and use the money to pay off (some of) the loan from the bank.
2006-09-17 06:41:31 · answer #3 · answered by James 1 · 0⤊ 0⤋
You obviosly got in over your head. Whatever you do don't sell it because legally its not yours and your present problems will pale into insignifigance if you do. Why not renegotiate your finances to a more affordable sum, a consolidation loan could do this. Go to a bank or regular finance company, not one of these advertised aiming at people like yourself who will cripple you with high interest.
2006-09-17 06:20:48 · answer #4 · answered by Tallboy 4 · 0⤊ 0⤋
It depends upon the type of loan you took out and the repayment details on it.
Take your paperwork to the Citizens Advice Bureau and ask for help.
In the meantime send some money to the finance company. they cannot repossess if you are paying something off it.
Good luck
2006-09-17 06:12:20 · answer #5 · answered by Amanda K 7 · 0⤊ 0⤋
You should have the option to VT (voluntary termination)
This means you can walk away from the finanace agreement with no penalties, finance companies do tend to keep this quiet though.
You will not get finanace from the same company again but it should not impact your credit rating.
2006-09-17 06:15:18 · answer #6 · answered by horsegal 3 · 0⤊ 0⤋
Well if part of the deal is that if you don't pay they reclaim the car then no.
2006-09-17 06:11:34 · answer #7 · answered by Anonymous · 0⤊ 0⤋
No,it's against the law
2006-09-17 06:13:54 · answer #8 · answered by Anonymous · 0⤊ 0⤋
The car - and the debt - are yours!
2006-09-17 06:12:47 · answer #9 · answered by Anonymous · 0⤊ 0⤋