Hi, I hope someone can help me as I have been worried sick about this issue.

My husband took out a car finance agreement last year and ended up couldn't afford to pay what they were asking.

We recently got the letter in asking him to voluntarily surrender the car.

He first phoned and the options he were given were to pay the full amount,

surrender the car or for it to be repossesed at any time.

We decided to surrender the car as the MOT was running out (ran out yestarday)

We sent the email with the signed and dated surrender notice yestarday and as it is Sunday we are having trouble contacting anyone to find out what happens now.

My issue is that the tax and insurance for the car also run out on the 1st (Tuesday) and I can't sorn the car as it is parked in a public car park out side my flat.

Is my husband still responsible for the vehicle even after voluntarily surrendering it? If so what do we do from here!

Thank you

Yes car will be your husbands responsibility until it is actually surrendered. Phone them on Monday first thing to make them aware of the situation and ask for an email address so you can follow up in writing so you have a record. Because the MOT has run out they will need to either tow it away or have it put on a low loader to take it away. No doubt they will charge for this and include it within any debt they think is owed.

They should be able to retrieve the car on Monday or Tuesday.

Suggest you can drive to their forecourt and leave the car with them, If not today there's Monday and Tuesday to do that.

BTW the 1st is Wednesday

With regards the MOT expired when you arrange to return the car, they need to confirm a booking for an MOT as I believe you can drive a car without MOT as long as it's going for an MOT.

cancel it

do a voluntary termination

you only have to pay upto the 50% mark then.

nice of them to tell you that wasn't it.

who's the fleecer?

and is this an hp agreement?

See if you can cancel (recall) the email

Many email portals allow that

You SERIOUSLY need to cancel the vs

They conned YOU!!!

As DX has said if this is hp/conditional sale get that vs cancelled

Otherwise you are going to end up with a lot more to be responsible for other than tax and mot

Let us have the full agreement and payment details

Hi, thank you for all the replies, I wish I had read them sooner, it is too late to cancel the VS, they are collecting the car first thing in the morning. It is indeed a HP agreement.

I'm sure they will slam every charge know to man onto the debt and charge me for it, but what happens in terms or replaying the debt? Can we pay it back monthly at say £10 a month? I'm in Scotland, what are they able to do to recover the rest of the debt once the car has been repossessed?

Thank you all

refuse the repo

how long are you online tonight please

need to get a few thing explained to you

it is not too late to late to cancel the VS

ring them 1st thing and cancel it and then send the VT letter we'll give you.

DONT LET THE REPO GUY TAKE THE CAR.

HE IS NOT A BAILIFF AND HAS NO LEGAL POWERS

tell him you are renegotiating the settlement

you might need block the car in someway

read the PM I have sent you.

dx

Dx I replied.

I'm just so stressed out: if I did manage to cancel the vs, then what do I do, I can't afford to insure and tax the car again and I have no where to keep it if I Sorn it. The MOT has already ran out.

it will be collected by them under VT rules once sorted

nothing to stop you sending the VT letter by recorded post 1st thing tomorrow.

you must have a friend relation family member neighbour with a private driveway?

you need to get it off the public highway by weds

or a bit radical

let the repo guy take the car tomorrow?

then get VS cancelled and send the Vt letter

who is the finance company?

Section 99 of the Consumer Credit Act gives the debtor the right to terminate a hire purchase agreement,

simply by giving written notice of termination.

.

The right to terminate applies at any time before the final payment becomes due, unless the creditor has already terminated.

.

contrary to the line taken by many finance companies,

.

the debtor need not have paid half the total amount payable,

.

and nor do they have to pay any arrears,

.

before exercising the right to terminate.

.

Sections 99 and 100 set out the debtor's liability on voluntary termination. The sections are complex,

.

but their main effect can be summarised in brief as follows.

.

.If the sum of payments made and arrears before termination exceeds 50% of the total price,

than the debtor is only liable to pay the arrears.

.

Otherwise, the debtor is liable to pay half the total price, less any payments already made.

.

so the debtor can terminate at any time if he has reached the 50 % mark

.

the debtor can terminate at any time before the 50 % mark but would be liable for payments still to reach the 50 % mark,

.

does not matter if the account is in arrears at the time or request to do a voluntary termination.

.

you need to specifically nail them down that this is a VT and NOT a VS [volutary surrender].

dont get caught out!!

take extensive photos of the car inside and out

and underneath and in the engine compartment ALWAYS.

if they try and charge a repo fee or collection fee they cannot:

173 Contracting-out forbidden.

(1)A term contained in a regulated agreement or linked transaction, or in any other agreement relating to an actual or prospective regulated agreement or linked transaction, is void if, and to the extent that, it is inconsistent with a provision for the protection of the debtor or hirer or his relative or any surety contained in this Act or in any regulation made under this Act.

This term is covered by the above section of the CCA 1974 in that it breaches this:

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

In other words nothing can stop you voluntarily terminating.

The only charges you must pay are the ones contained in the legislation and itemised in section 101, the charge mentioned is levied after the agrement is terminated and is void in any case. All it means is that no one will collect the terminated car(their car), well that is ther problem it is no longer yours , your attachment to the car has been terminated.

.

although dependant on the way your agreement is written, they can charge excess mileage

.

this has been accepted at county courticon level, but afaik has not been tested in a higher court

..

..............example letter..ADAPT TO SUIT.............

.

You must vt under s99/100 cca1974. do not sign any of their forms, or agree to pay anything.

.

The car has just to be in reasonable condition for its age.

If you have paid in excess of 50%,

with no arrears there will be nothing to pay.

.

Send them the following letter,

they MUST action your request,

you should endeavour to be present at the vehicle inspection---

.

VOLUNTARY TERMINATION OF AGREEMENT UNDER S99/100 CCA 1974

.

Account No: (xxxxxxx)

.

Dear Sir,

I am writing to notify you that I am exercising my right to terminate the above Agreement

under Section 99 of the consumer credit act1974.

.

You will understand that the aforementioned section permits the debtor to terminate the agreement

at any time before the last payment is due.

.

There is no restriction regarding the exercising this statutory right,

particularly none in respect of any perceived arrears or monies due on termination

.

I understand that I shall be liable to you for the amount calculated under the formula in Section 100

of the Consumer Credit Act 1974.

.

**As I have/have not paid more than the amount calculated under the formula in Section 100 the amount due is £XXXX/zero.

.

The above agreement will be terminated 14 days from the date of this notice.

.

Please send me details of how the vehicle can be returned to you.

.

You will be aware that statute prevents you from levying a charge for the recovery of this vehicle;

guidelines also state that if you require me to deliver this vehicle

it must be no more than a short (reasonable distance) from my registered address.

.

Please confirm receipt of this request in writing within 7 days of receipt.

.

-Yours etc...

..

Beware in 1995 after about a year's payments, we did a VT on a car that we bought for about £5000 The car was sold on auction for £1200 and they came after us for the balance. We might as well have kept the car as we still had to pay out over £4000 after the VT.

balance of what?

if you bought on HP a car for roughly £5k

then you need to work out looking at the agreement what the 50% mark was

that's all you have to pay

if you are still paying now then I question why.. but you need to start your own threads..

Laurie how did it go?

balance of what?

if you bought on HP a car for roughly £5k

then you need to work out looking at the agreement what the 50% mark was

that's all you have to pay

if you are still paying now then I question why.. but you need to start your own threads..

 

 

Laurie how did it go?

Maybe you missed the date as it was in 1995 so a long time ago. It was just a warning for the OP so they do not end up paying for something they do not own. helpful forums like this did not exist in 1995.

..yes I read it you were still paying ++ 1995 rang alarm bells...

moneyway that are the lot here pull all kinds of stunts which is why we need to keep comms going with the OP

Anglia are a crafty lot too

but once they realise you know your rights and that they are not bailiffs, they tend to comply

esp when you film them on a mobile.

theres a thread elsewhere I remember where they tried to get the unlawful repo fee out of the debtor by a card at the side of the road and the police got involved too.

Hi, thank you for all the replies, I wish I had read them sooner, it is too late to cancel the VS, they are collecting the car first thing in the morning. It is indeed a HP agreement.

 

 

I'm in Scotland,

 

Thank you all

Now it becomes clearer

I suspect that the finance company have already defaulted and terminated the agreement

and are covering their backs as you are in Scotland and they pretty much need a court order to repo the car

They are also depriving you of your right to reschedule the agreement via the courts ,were your financial position to improve ,

as when they issued the claim for return of the car, you would have been able to make an offer to the court

full info here

https://www.nationaldebtline.org/S/factsheets/Pages/08%20SCOT%20Hire%20purchase%20and%20conditional%20sale/Default.aspx

Thanks everyone.

They arrived today and didn't have a truck with them so couldn't take the car, they'll be back Wednesday.

They were extra nice to me but could have possible been because it was just me myself and the car isn't in my name.

I have sent an email to Moneyway legally withdrawing my vs and attached a vt letter, I sent it first thing this morning and am currently waiting on a reply.

hey great work.

are you aware if he has received a default notice

and

a termination notice from Moneyway.

you also need to be aware that in Scotland re post 17 info

Was the agreement taken out whilst resident in Scotland?

THank you for all the info,

yes we've always lived in Scotland.

Reading that info it said that the creditor should have accepted a repayment plan to get the account up to date if we could afford the monthly repayments plus more to cover arrears,

this just shows me what liars they are since we offered them £400 a month (£140 more than what is due monthly)

yet they told us to surrender the car or it would be repossesed at any time day or night unless we paid the full arrears there and then.

My husband said "really?

You won't accept any kind of repayment,

you'd rather lose out on money and take the car without offering an alternative?"

And they said

"that's a risk we are willing to take"

I have no idea if he has recieved a default notice,

the only letter I have is the one from Anglia saying they are collecting the car and to fill in the surrender notice which we stupidly done in a panic.

Still haven't heard back regarding cancelling it or the VT

id be writing to moneyway and pointing out Scottish laws to them.

now, you didn't tell us it was the repo company that you filled the VS form out for?

you said it was moneyway?

who sent the VS form?

It was the repo company that sent the letter

but the form was a Moneyway letter if that makes sense?

Anglia sent a letter from them with a Moneyway form attached and asked him to surrender the car,

he phoned Moneyway as soon as we recieved it to come to an arrangement and they weren't having any of it, so he filled in the form and emailed it to anglia that night

If you wish to keep the car and can afford the repayments plus a small amount off the arrears

prevent the repo and when they issue a claim make your offer via the court

or consider a time order

Check whether Moneyway have defaulted and terminated the account ( obtain that in writing)

Thank you. I'm pretty sure they'll have terminated the contract, will find out for sure.

I can't afford to keep the car now as we've had to buy another one and insure and tax it ect,

my husband travels quite far for work at unsociable hours so not having a car wasn't an option hence the initial panic when they told us it would be taken any time day or night

If they have terminated sadly you won't be able to VT as the agreement can only be terminated once

If they repo it will be taken straight to auction as is

and you will be responsible for the entire agreement less what the car fetches

Really pays to keep if you at all can

If you can't it's going to have to be dealt with by Formal Complaint

Further update,

husband phoned Moneyway,

they claim they terminated the contract at the end of December,

my husband pointed out that since living at this address (July last year) we haven't recieved a single letter from Moneyway,

she again stated they terminated the contract and sent the letter to this address.

My husband asked for written confirmation of the termination and default notice, she's saying they won't provide it.

a guy turned up this morning to take the car.

He was really nice.

The woman from AngliaUK phones to say we had to put the VS form in the car.

When my husband went down and said he wasn't giving them the form this is what she said on the phone to him

"It's better to provide the form because it would mean you wont get CCJs,

because you hadn't paid 50% of the finance agreement,

they don't need to ask for an order to get the car removed at any time.

I've phoned Moneyway and because the accounts in arrears,

you can't just voluntarily give the car up,

it would need to surrendered, not terminated"

She's asked us to post the VS form to her or she can come and pick it up.

Obviously I'm not going to, but where do I go from here.

Also the guy that took the car signed a letter saying he's took the car without providing a default notice or signed HP from moneyway