Santander car loan

[The Debt Star]

I have a motor loan with Santander. Originally GE money. Used it purchase a car from the car shop in November 2008. its for 5 year term so I'm just under half way through (half way in May).

I want to give them (Santander) the keys and walk away from the loan.

Unfortunately the contract states that I have to pay a cash lump sum if terminating early. There's no mention of any return of goods for termination payment, just cash settlement.

On my wife's car loan with Black Horse it clearly states that she can, if she wants, hand the car over in settlement once half the repayments have been made.

With my motor loan this does not appear to be possible.

Does anyone any experience of this? Does the contract HAVE to stipulate that return of goods is permissible?

[jen_br]

Re: Santander car loan

The only way return of goods is permissable is if you get repo'd but your criedt will suffer.

May I ask why you want to end the contract? Do you still need a car? Somtimes dealerships will sell a car for you or buyyour car and clear the finance.

[The Debt Star]

Re: Santander car loan

The equity in nthe car is less than the finance, by £1.5K & thats the problem I have.

I want to get rid of the car to save money on the finance and insurance. we can get by as a 1 car family.

[Never-In-Doubt]

Re: Santander car loan

Have a mooch here mate: ---> http://www.financingyourcar.org.uk/c...dcarguides.riv

I was sure so long as 50% was paid then you can hand in the keys and the car and walk away....?

[Never-In-Doubt]

Re: Santander car loan

Does anyone any experience of this? Does the contract HAVE to stipulate that return of goods is permissible?

Its written into the CCA matey.....

[The Debt Star]

Re: Santander car loan

Its written into the CCA matey.....

ooh thats interesting...is their CCA kosha then?

[The Debt Star]

Re: Santander car loan

Have a mooch here mate: ---> http://www.financingyourcar.org.uk/c...dcarguides.riv

I was sure so long as 50% was paid then you can hand in the keys and the car and walk away....?

the link doesn't really answer the question about whether Sabtander are obliged or can consider taking the car back in full or part repayment.

CCA to follow...

[The Debt Star]

Re: Santander car loan

here's the CCA and T&C.

Any comment?

http://i822.photobucket.com/albums/z...1/4abb6f9b.jpg
http://i822.photobucket.com/albums/z...0f02b48c-1.jpg
http://i822.photobucket.com/albums/z...1/9966f9ed.jpg
http://i822.photobucket.com/albums/z...1/82c3bcb1.jpg

[Never-In-Doubt]

Re: Santander car loan

Link 1 at the bottom states "you have no right to cancel this agreement under the cca1974".

However, the cca itself supersedes their terms as to grant credit this way surely it must comply with cca or it's an unregulated product meaning they can't take you to court for a ccj lol. Itd be a civil and expensive case.

Nah, let me look into this tmw. I'll update through the night with the legislation for you.

[Never-In-Doubt]

Re: Santander car loan

ps when I say cca I mean consumer credit act 1974 - not an agreement lol.

[oscar]

Re: Santander car loan

Just a quick query - Page 1 - why is there two differing interest rates?

Not to up on Car loans so may be simple answer....

[Never-In-Doubt]

Re: Santander car loan

One is the rate for finance (interest rate) the other is under the ppi bracket which was slightly higher. It wasn't applicable of course as no ppi taken.

The admin fee is rated separately as it was added to the loan as separate finance at 7%.

[jen_br]

Re: Santander car loan

Hi I just wanted to say my husband is a car salesman and generally (now MB uses a different finance company) but he did say to look through because generally there is a clause that says you can hand in your keys

ONCE you are half way through your contract minimum

If you hand your keys back now technically they would auction your car and lets say you had 3k left on it for finance at auction if it made more youd get the more... if it made less youd still owe

Hope this helps Its handy having an FSA approved guy in the motor industry

If you need any further help pending on the type of car it is pm me

[jen_br]

Re: Santander car loan

BTW if you hand your car in you will get marked with a VT (voluntary termination) all though this is NOT suppose to go against you... in the real world it does.

My husband is just reading your agreement now he will tell you exactly what will happen give him a few .....slow reader.

[Never-In-Doubt]

Re: Santander car loan

Jen the clause regards to handing keys back is the legislation written into cca1974 that I mentioned. As I say, their contract can say anything but you know what? The cca1974 supersedes it. Lol

It'd be interesting to see what other errors mr BR will find, handy to have around. Does he want a job lol. Yea right, you pair on here would be a nightmare haha