Returning car to finance company

[jo3anna]

I am arranging temporary termination of my finance agreement in order to hand my car back to the finance company. I have completed all the appropriate paperwork and am waiting for a date for the finance company to collect my car.
I have read that a mechanic will come to inspect the car, and obviously charge me for any outstanding work needed on the car. Therefore I took my car to the garage today for a service and replacement of the timing belt (both were outstanding according to my car's service manual), however the mechanic at the garage told me that the finance company mechanic would be unlikely to check as indepth as that (he told me this after the work had been completed, thus charging me £250...)

Has anyone had experience of handing a car back to the finance company? How in depth is the mechanic likely to be?

[redcrx]

Im sure that the mechanic will at least look in the service manual

[Frankieola]

The person who comes to collect your car will not actually be a mechanic, They are more likely to be an agency collection/delivery driver. They will do an appraisal on the vehicle noting any damage and you will sign to say you agree to this. The finance company will then look and see if the damage on the car falls in line with what they call "fair wear and tear." They dont expect the car to be in the same condition as when you purchased it, but it should be in line with whats expected for its age and mileage.
They will expect you to have serviced and maintained the car in line with manufacturer reccommendations so you havent wasted your money getting the timing belt done. Similarly, They will expect tyres to be above legal limit and the MOT to be current.
This proceedure has been tightened up significantly as all finance companies are getting lots more cars back this way and are looking to cut costs. For example, You should expect them to query if the service book is missing or all keys are not present. If they do chase you for any extra money for rectification costs, you need to challenge them and fight your corner.
Also, If you are thinking of financing another car now, it might be prudent to arrange your finance as soon as possible as although this should not affect your credit rating, It has been known for finance companies to record something on your credit report.

[sudu94]

You've just driven your shiny new car home from the car dealership after signing a $20,000 auto finance contract. Off the lot and away from the excitement of car shopping and pressure from the salesmen, reason has reared its ugly head and buyer's remorse sets in. The ugly truth overwhelms you: your shiny new car is actually a set of financial handcuffs that you'll be wearing for the next three to five years.
You want to back out of the deal, but both your friends and research on the Internet tell you it's too late. Unlike a regular purchase, as the common belief goes, you can't return a new car. And the dealer refuses to take the car back. You're stuck with your auto purchase. Media URL: http://www.globalfinanceschool.com/ebooks
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