I have a vehicle on finance from Trax Motor Finance which is just short of the halfway mark.

Due to ill health I a no longer able to drive it so I sent a request to voluntary terminate using a letter template from this site.

I sent I recorded and they have signed for it and acknowledged it via email.

I know that there will be some liability left to see the agreement to the half way mark and have detailed this in the VT sent to them.

They are insisting that I contact them via phone to sort out the details but I have replied on several occasions that I will only communicate via email or letter so that I have a paper trail and that I am not contactable by phone as I am currently in hospital.

I have sent a second recorded letter reiterating the request with a copy of the original

request which they have also acknowledged and again insist that I contact them by phone about my voluntary surrender.

I have replied very sternly and pointed out many times that under no circumstances do I want to voluntary surrender and pointed out many times that it is a voluntary termination request .

They say that they cannot communicate via letter or email due to data protection.

I then pointed out to them that I have received several communications from them via email and letter discussing personal and financial business so data protection has nothing to do with it when it suits them.

I have threatened them with the FCA as I am getting nowhere with them and I have a car that will be rotting away on my drive if they do not take it away but what else can I do now as they are refusing my VT request unless I speak to them on the phone.

What idiots....

Tell them the car will be delivered to their premises at their expense in 14 days time should they fail to communicate further by writing only

Then pay nothing more and let them take you to court where a judge will no doubt sort them out

Ok thanks for your quick response, I will send them a recorded letter to that effect as soon as I am able to.

Why don't you tell us who you are dealing with so that others can be warned – or are you trying to protect them?

Why don't you tell us who you are dealing with so that others can be warned – or are you trying to protect them?

I already said, its Trax Motor Finance ( Walker & Co Securities Ltd. ).

Why don't you tell us who you are dealing with so that others can be warned – or are you trying to protect them?

Why don't you just give the OP a gentle nudge before you come out with one of your favourite lines? Have you ever stopped to think that he might be scheduled a scared to name companies or, God forbid, not be aware thàt you can name names on here?

How do you get from one single post that he might be trying to protect the company?

already said

I already said, its Trax Motor Finance ( Walker & Co Securities Ltd. ).

I was not trying o protect anyone, I named the company in the very first line of my original post. All I was asking for is was I could try next not to

start an online slanging match.

Trax have arranged collection of the vehicle. I have arrears on the account do I need to pay all of these or just enough to bring my account to the half way mark?

already said

Awaiting apology from BF...

Why don't you tell us who you are dealing with so that others can be warned – or are you trying to protect them?

Feel free to apologise anytime...

Trax have arranged collection of the vehicle. I have arrears on the account do I need to pay all of these or just enough to bring my account to the half way mark?

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...

..

Why don't you just give the OP a gentle nudge before you come out with one of your favourite lines? Have you ever stopped to think that he might be scheduled a scared to name companies or, God forbid, not be aware thàt you can name names on here?

 

How do you get from one single post that he might be trying to protect the company?

yes, you're probably right

already said

Whoops, I missed it.

Awaiting apology from BF...

 

 

 

Feel free to apologise anytime...

– Apologies.

I have now received a letter from Trax titled Termination/Seizure notice saying that I have failed to clear the arrears and that the agreement is now terminated and the full amount is now outstanding and it is their intention to enforce full security on the vehicle.

It goes on to say that they will seize the vehicle if I have not paid 1/3 ( I have ) or otherwise they will start legal proceedings to recover it.

I do not know what they are playing at because the VT was sent recorded on the 22nd of Feb and they signed for it and also acknowledged it via email.

I have emailed them and said that I will not release the vehicle to their agents until I receive in writing a confirmation that the vehicle is to be Voluntary Terminated and that I will only be liable for half the cost of the agreement Plus arrears.

They can't charge any arrears fees etc

Solely the half sum detailed on the agreement

Its the law under the CCA

Let's just be clear

Did you receive a default notice that

required remedy prior to March8th

i.e. The date you set for termination?

If not

Your liability is set out in s100 cca1974

Just before the above letter arrived I received an email about collection of the vehicle which contained the following paragraph

" Although you're correct in what you say in the letter regarding paying 50% of the finance there are active arrears on the account and these must be paid up to date to complete the Voluntary Termination. Meaning the outstanding balance to make is £xxx. In regards to the arrears and outstanding balance we will look to discuss a repayment plan once the vehicle has been collected ".

The amount is just over £500 I have deleted the exact figure.

I cannot recall receiving a default notice nor does the letter mention one it just says that I have failed to pay the arrears up to date.

Surely the above statement confirms that they have accepted the VT and they state that only the figure above is due and not the full amount of the agreement ?

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.

Their email is the correct procedure ,their letter is garbage

They cannot terminate an agreement you have already terminated, nor can they take any action without a valid default notice

Write to them as a Formal Complaint stating that you terminated the agreement on xx March 2018 under s99cca1974

and the car can only be collected on that basis

And furthermore you require to be compensated for the distress and inconvenience caused by their procrastination of what should be a

simple matter of you exercising your statutory rights under the agreement

Thanks for you replies, I will get a letter to that effect sent off today.

They have now caved in.

I have it in writing that it is a VT and that I only need to pay the amount to bring it up to half way which is less than £150.

The car has now been collected and I have an inspection sheet from the collection agent which states no damage to the car as well as lots of photos of the car inside and out as well as under the bonnet.

I did not sign anything with the collection agent so just waiting for a final response from them.

well done