Voluntary termination of PCP

[stepmeek]

esxste said:

Wow looking at that link... no wonder you got confused, the way it is designed makes you think its a classic PCP.

Yeah I am unimpressed by it. Waiting on someone from santander finance contacting me but I don't imagine I am going to get far as the terms and conditions are there in the documentation. I do think they have missold it as PCP at the dealership though as there was no mnetion of a loan.

[stelex15]

I also have a Volvo on what I thought was a PCP and was looking into how to get out of it. Having checked my credit report, the finance from Santander is listed as Balloon HP rather than PCP.

Looking through my documents, the amount of the loan includes the final payment to purchase the car. Should this be the case with a PCP? Or should the loan just be the amount that is required to take you up to that final payment? It makes a difference in my case because with the final payment sum included I am a few months off being halfway through to voluntary terminate. If I was loaned the amount to get me to the final payment, I would be halfway through now.

Hope the above makes sense!

[djc206]

essayer said:

Is it worth getting a loan to pay off the finance then sell privately/WBAC etc?

Would selling to WBAC require you to do that? I've sold a couple of cars with outstanding finance on and the buyer just cleared the outstanding and paid me the difference. Given that most cars are financed these days I seriously doubt WBAC would make anyone jump through that unnecessary hoop. It might give peace of mind in a private sale but again can easily be avoided. Curious as I'm about to sell my car which is on a PCP with a decent amount of equity.

OP sounds to me like you were missold a financial product, that's a serious fking no no. Having been through a dispute with a mortgage advisor I can't recommend the financial ombudsman enough. A very quick and fair judgement.

[Lurking Lawyer]

stepmeek said:

Yeah I am unimpressed by it. Waiting on someone from santander finance contacting me but I don't imagine I am going to get far as the terms and conditions are there in the documentation. I do think they have missold it as PCP at the dealership though as there was no mnetion of a loan.

Don't be fobbed off by them. If need be, make a formal complaint and tell them that you want a final decision letter so you can make a complaint to the Financial Ombudsman Service.

Santander will be on the back foot a bit as they have absolutely no way of knowing or being able to establish how the salesman sold it to you but are potentially still on the hook for his actions and representations nevertheless.

[stepmeek]

stelex15 said:

I also have a Volvo on what I thought was a PCP and was looking into how to get out of it. Having checked my credit report, the finance from Santander is listed as Balloon HP rather than PCP.

Looking through my documents, the amount of the loan includes the final payment to purchase the car. Should this be the case with a PCP? Or should the loan just be the amount that is required to take you up to that final payment? It makes a difference in my case because with the final payment sum included I am a few months off being halfway through to voluntary terminate. If I was loaned the amount to get me to the final payment, I would be halfway through now.

Hope the above makes sense!

Not sure I understand what you mean to be honest. My plan now looks like it is a hire purchase but with a final balloon payment at then end of the loan if I want to keep the car. I don't really understand it fully myself as I cant really seperate it from a standard PCP at the minute, I am waiting on someone from santander managament calling me tomorrow as the adviser today couldn't explain it properly. I will keep you updated and PM you if you like.

[stepmeek]

djc206 said:

Would selling to WBAC require you to do that? I've sold a couple of cars with outstanding finance on and the buyer just cleared the outstanding and paid me the difference. Given that most cars are financed these days I seriously doubt WBAC would make anyone jump through that unnecessary hoop. It might give peace of mind in a private sale but again can easily be avoided. Curious as I'm about to sell my car which is on a PCP with a decent amount of equity.

OP sounds to me like you were missold a financial product, that's a serious fking no no. Having been through a dispute with a mortgage advisor I can't recommend the financial ombudsman enough. A very quick and fair judgement.

To be honest I am not keen on selling the car, part of the reason for taking PCP ws that I could hand the car back when we had paid our half owed amount. I am reluctant to let them off the hook by selling the car myself. But it is an option.

Yeah it is starting to look like I was, as the link posted by a poster further up the page showed this option should only be used when PCP is not suitable and I should have been informed, which I wasn't, really not happy about it. I am waiting for a response from Santander tomorrow and then I will be contacting Volvo UK and taking it from there.

[stepmeek]

Lurking Lawyer said:

Don't be fobbed off by them. If need be, make a formal complaint and tell them that you want a final decision letter so you can make a complaint to the Financial Ombudsman Service.

Santander will be on the back foot a bit as they have absolutely no way of knowing or being able to establish how the salesman sold it to you but are potentially still on the hook for his actions and representations nevertheless.

Thanks for the advice. I am waiting to hear from them, I want to know why I was given this rather than standard PCP and what the criteria is, which they couldn't answer so we shall see tomorrow.

[djc206]

stepmeek said:

To be honest I am not keen on selling the car, part of the reason for taking PCP ws that I could hand the car back when we had paid our half owed amount. I am reluctant to let them off the hook by selling the car myself. But it is an option.

Yeah it is starting to look like I was, as the link posted by a poster further up the page showed this option should only be used when PCP is not suitable and I should have been informed, which I wasn't, really not happy about it. I am waiting for a response from Santander tomorrow and then I will be contacting Volvo UK and taking it from there.

Good luck. Make sure you keep a record of all communications, it made dealing with the ombudsman a breeze when we used them to resolve our dispute.

[stepmeek]

djc206 said:

Good luck. Make sure you keep a record of all communications, it made dealing with the ombudsman a breeze when we used them to resolve our dispute.

Thanks, yeah I will do, good advice.

[Mattt]

Any update OP?