Supposed PCP shows as Balloon HP on credit file

[nmd87]

Hi PH,

For the past two and a half years, I have had a PCP with FCA Automotive Services for an Alfa Romeo. I took this out in September 2015 and in March this year I invoked voluntary termination as a change in circumstances meant I didn't need the car any more. I had the car inspected and collected by the agent (Manheim Auctions) and I am awaiting a final letter from them confirming what I owe for collection of the car and any wear and tear (hopefully nothing as no damage was noted when they inspected the car whilst still in my care).

Anyway, I decided to check my credit file to make sure that settlement of the agreement had been reported correctly. I can see that following the VT, the agreement is now marked as "Settled" on my credit file, so no worries in that respect.

However, I also noticed that the agreement actually appears as type "Balloon HP" instead of PCP on my credit file.

Does this mean I have in fact had a Hire Purchase agreement and not a PCP? If so, does it really matter as there would seem to be no practical difference between a PCP and HP?

Thanks in advance for any information.

Nick

[Andy665]

A PCP is legally a Hire Purchase agreement (and always has been) - simply a different payment profile and with the benefit of the safety net (GFV)

[nmd87]

Andy665 said:

A PCP is legally a Hire Purchase agreement (and always has been) - simply a different payment profile and with the benefit of the safety net (GFV)

Thanks. Nothing to worry about then.