Car finance expert needed

[novalovingned]

Quick question. I know after paying half the agreement on a car finance deal you can hand the car back. Its perfectly leagal to do so. But, can you hand it back with no mot and tax?

[let_nova]

when you say hand it back... you still need to pay the rest do you not?

[let_nova]

Quick question. I know after paying half the agreement on a car finance deal you can hand the car back. Its perfectly leagal to do so. But, can you hand it back with no mot and tax?

and i believe throughout finance it has to be kept in reasonable condition and insured. if it has not mot its not insured

[16v Nova Kev]

if you have a hire purchase agreement then you can arrange for it to go back. only once you have paid half the payments but if its in bad nick or has things damaged they will probably take the car back and bill you.tax doesent matter but i would say i needs to be motd

[let_nova]

yes but if you still have finance outstanding then you will have to still pay this.... and have no car if you hand it back?

[16v Nova Kev]

no cos that is what most of the taxis do and i will be doing with mine. if you hand it back it usually goes to an auction and thats how they settle the account.

[let_nova]

oh well...... this is what i will do then.

[16v Nova Kev]

check your agreement to make sure its a hire purchase one and not a loan if its a loan your fooked.

[let_nova]

hp

[16v Nova Kev]

sweet.

[Novasport]

Afaik this can affect your credit rating if you do this, the more times you do it the less chance you will stand of getting finance.

[16v Nova Kev]

Hire purchase is an agreement whereby a person hires goods for a period of time by paying instalments, and can own the goods at the end of the agreement if all instalments are paid. Under a hire purchase agreement, the consumer does not actually own the goods until the last installment is paid, although he or she has full use of the goods throughout the repayment period.
A consumer (the hirer) can terminate the hire purchase agreement at any time by giving notice in writing to the owner of the goods (the finance house). Consumers should be aware that breaking a hire purchase contract before its normal end date usually involves penalties. The consumer can either:

pay half the amount of the total hire purchase price (if the total of instalments already paid have not reached that amount) and return the goods to the owner. If the goods in question are damaged in any way, the consumer will be liable to pay for any damage caused. The finance house may issue a notice of costs, but consumers should try to get their own estimate in such cases.
buy the goods earlier than planned. The consumer can own the goods by paying the difference between the amount already paid and the total hire purchase price. In such cases, there is usually a reduction on the overall amount due as the loan is being paid off earlier than planned. This reduction is calculated using a recognised formula for early loan repayments, however, the amount of any reduction is relatively small.

[DAFTJOHN]

Iv done it a few times and the cars have been mot. The finance house say it puts a black mark on your credit file...but I'm not too sure about that if it's leagl not sure if they can black mark you

[novalovingned]

The car is immaculate inside and out so thats not going to be a problem. It has just had new brakes and tyres. Runs perfect and still pulls very very hard.

I was on the phone to the finance company and they said once half or more of the balance is paid i can (by law) hand it back . The phone op said it will not put any sort of bad credit rating to my name.

But the question is, can i hand it back with no mot or tax?

Reason is half the balance is just about paid, and instead of paying for a mot, tax and another monthly payment i was just going to pay (for arguements sake) £200 to reach the half way mark and hand it back.

This would save me the hassle of getting it motd and taxed for the sake of handing it back in a couple of weeks.

[scottishstu]

hi mate
i used to sell cars so here how it goes,you have a right to hand back,just as they have a right to take it off you if you dont keep up with the payments,just double check its on hp(higher purchase) and not a personal loan,also check uve defo paid half,and as the guys said "must me well looked after" not 100% sure about mot,but ive handed a car back and they tried to shaft me with all sorts! they normally send a company like the rac out to check it over and depending on there report you need to bring it up to a certain standard!. as for the black listing it doesnt affect you the first time!,but if you continue to do it it will.
hope this helps mate

[Nobby]

hi mate
i used to sell cars so here how it goes,you have a right to hand back,just as they have a right to take it off you if you dont keep up with the payments,just double check its on hp(higher purchase) and not a personal loan,also check uve defo paid half,and as the guys said "must me well looked after" not 100% sure about mot,but ive handed a car back and they tried to shaft me with all sorts! they normally send a company like the rac out to check it over and depending on there report you need to bring it up to a certain standard!. as for the black listing it doesnt affect you the first time!,but if you continue to do it it will.
hope this helps mate

+ rep!

[novalovingned]

hi mate
i used to sell cars so here how it goes,you have a right to hand back,just as they have a right to take it off you if you dont keep up with the payments,just double check its on hp(higher purchase) and not a personal loan,also check uve defo paid half,and as the guys said "must me well looked after" not 100% sure about mot,but ive handed a car back and they tried to shaft me with all sorts! they normally send a company like the rac out to check it over and depending on there report you need to bring it up to a certain standard!. as for the black listing it doesnt affect you the first time!,but if you continue to do it it will.
hope this helps mate

Ok mate cheers for that. I dont think i will have a problem handing it back at the half way point then mate. As said its a cracking example of how a car should be kept. Theres not a mark on it and its never wanted for anything.

Its on a hp argeement and payments are all up to date.

Reason for handing it back is i fancy a change and the settlement figure is to high for me to sell privatly to settle balance. It works out much cheaper for me this way. Someone is going to get a very well looked after clio up at a bargain price when it goes to auction :(

But ive been wanting an Astra vxr for a year now :p and have to have one!

Im going to phone the finance company tomorrow to clear things up once and for all :)

[Stuart]

Quick question. I know after paying half the agreement on a car finance deal you can hand the car back. Its perfectly leagal to do so. But, can you hand it back with no mot and tax?


how about phone up the finance company in question and ask :wall:

[novalovingned]

how about phone up the finance company in question and ask :wall:

FFS im really not that stupid :roll:

By the time i was off the phone and had thought about it they were closed for the day.