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Voluntarily Surrendered

Voluntary surrender differs from voluntary termination because while you give the car back, you still owe the finance company all of the remaining balance. Essentially once you hand the car back it’s then sold. You’ll then owe the finance company the difference between what they sell it for and how much you owed.

If, when you make the request to terminate, you interchange these phrases, some less ethical finance companies have been known to seize on the word ‘surrender’ and process a request for voluntary surrender. Not only does this leave you liable for the whole amount owed, but it’ll also negatively affect your credit score.

But voluntary surrender is akin to repossession.
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