car finance

[trulli]

Hi,

My sister has a car on finance (yes car credit) and can't afford repayments.

I thought that if you had paid over 50% you could do a voluntary termination but when she rang they said she had paid 60% of the car off so could go for voluntary termination, they would pick the car up, but they said she was still was liable for insurances and would have to pay 1392.11 off and get refund of 184.89 or she could pay the 1392.11 off in installments. They said they could arrange affordable installments with their legal department.

Is there nothing she can do about this?

[gammaray]

Hasn't Yes car credit gone bust!?

[trulli]

I don't know she only spoke to them yesterday. Do you know how this might effect her?

[WoWo]

Yes Car Credit did go bust but they never actually financed the loans themselves.

[themas]

I take it this is Hire Purchase. She needs to read the agreement very carefully and not rely on what she is being told on the phone. The agreement should set out what % has to be paid before voluntary termination (I thought it was 50% but am not certain) and what liability she still has if she does terminate voluntarily.

[trulli]

thanks have passed on your reply.

[Dozy]

yes car credit have gone bust and their cars are financed by Provident who have also ceased trading in the Motor industry as of september 2005 perhaps she can argue the contract with who now owns the car?

[Jav]

check out

www.saynotoyes.co.uk

you'll love it

[trulli]

Thanks for that will pass it on.