Hi All,

I am looking for some help, my husband has recently passed his driving test but only has an automatic licence and we are in the process of changing our car. We have already been accepted for finance for a new car with another company with better rates.

We took out HP finance with Advantage Finance in July 2016, the agreement was for 54 months. If my calculations are correct we have made 29 payments back which is over the 50% they state you need to pay before you can proceed with a VT. I have sent an email and letter to inform them I was to terminated with immediate effect and I am awaiting their reply. (I have attached a copy of the letter/email sent)

I have never been in this situation before and want to know what my next steps should be? I have never been in arrears with them, never missed a payment or been late with a payment.

I just made a payment for the car on the 26th January 2019 (this would have been payment 29), should I still make my payment in February on should I cancel my direct debit?

I have been reading quite a few threads lately on dealing with Advantage when proceeding with a VT and I am petrified they try and charge us extra for scratches etc. that were already on the car when we originally purchased it. I will take lots of photos before it goes back, I have had it professionally valeted and washed also.

Any help is much appreciated.

well they cant charge you anything more

inc any bogus charges for collection either.

as per what you have read I expect make SURE you take extensive photos of everything to do with the car.

inside body panels

underneath on a selfie stick.

video is good too.

they will try and get you on dings and dents and scratches they always do.

but fair wear n tear overrides their silly games.

did you send our VT letter?

cant see any attachments [read upload use PDF only]

sorry don't think it uploaded property, I have sent an email and a letter in the post.

Here is a copy of the content included in both:

Dear Sir or Madam,

Re: Termination of hire-purchase agreement pursuant to section 99 of the Consumer Credit Act 1974 (“CCA 1974”)

I am writing to inform you that I am exercising my right to terminate the above hire-purchase agreement with immediate effect in accordance with Section 99 of the CCA 1974. You will be aware that I have to date paid 29 instalments totalling £5083.41 which exceeds more than half the total price payable under the agreement. Accordingly, I calculate that there are no further instalments to be paid.

I have also inspected the vehicle and I am of the opinion that it is in a reasonable condition given its age whilst accounting for fair wear and tear. Photographic evidence has been taken in the event of any future dispute as to the state of the vehicle.

Finally, I would remind you that as a consequence of terminating the agreement under Section 99 of the CCA 1974 and having met the relevant criteria under S.100(1) of the CCA 1974, my liability is limited to one half of the total price payable. Any additional costs, expenses, compensation or otherwise relating to a breach of the agreement are irrecoverable. The vehicle is available to collect and arrangements should be made at your own cost.

I am prepared to deliver the vehicle to a local auction site at my own expense, no more than a short reasonable distance from my registered address. If, however, you prefer the vehicle to be delivered elsewhere, then I will require an undertaking from you agreeing to pay my reasonable costs and expenses prior to it being delivered to your preferred location.

I would appreciate if you could contact me on xxxxxxxxxxx at your earliest convenience to discuss the next steps.

Yours faithfully,

:thumb:

pers I wouldn't have put the last line

writing only!!

I am still waiting on them replying to me, do you think it is safe to cancel the direct debit I have in place with them or should I wait till they respond?

I have just had confirmation from our new finance company that everything has been finalised on the new car, the last thing I want is to be paying out for 2 cars at the end of February

even if you've not paid the 50% you can send the remainder later

pers i'd cancel the DD.

dx

I'm positive I have paid the 50%

Original finance agreement = £9640.66

Entitled to return the goods once 50% paid = £4820.33 (this is the figure in my agreement)

Based on my calculations paid to date = £5083.41

I never took out any extras (insurance or GAP) with them so I'm hopeful that there is nothing left to pay. I did take GAP with Arnold Clark so will need to look into cancelling that.

One thing that has popped into my head is that I have not had the car serviced, I have never had the service light come on to tell me that it is due (it's probably not far off due). Is it worthwhile getting the car serviced before handing it over? I'd really rather not have to spend money on it if I'm giving it back but again don't want to end up with a massive bill

they cant charge you anything..

looks like they owe you.

no if you'll ever see that is another matter!!

Thanks for your help, I'll not put it through a service!

Will await Advantage Finance reply to my email and letter

looks like they owe you.

Even if 99% of the agreement had been paid, the finance company still wouldn't owe anything after a VT.

I'm not looking to get anything back

I just want to make sure that I don't need to make any further payments so I am not paying for 2 cars at the end of February

Even if 99% of the agreement had been paid, the finance company still wouldn't owe anything after a VT.

Hes talking about charges/PPI etc or whatever they like to charge.

I'm not looking to get anything back

 

I just want to make sure that I don't need to make any further payments so I am not paying for 2 cars at the end of February

That depends which date you officially terminate the agreement. You may be charged for the full month or a pro-rata payment.