You have a right to tell us you want to end your agreement using the voluntary termination option at any time. We’ll need you to notify us you want to do this in writing. That can be a clear email stating that you want to use the voluntary termination option, or you can send us a signed letter confirming this.
If you voluntarily terminate your agreement you are liable for half (50%) of the total amount we agreed would be payable at the start of the agreement, plus any arrears or charges you’ve built up if applicable..
When you voluntarily terminate your agreement you need to return the vehicle to us (we can arrange to collect it free of charge) and it must be in a good condition, bearing in mind its age and mileage.
If you think you may want to use this option to end your agreement early, please contact our Customer Services Team on 0330 555 1230 so we can run you through all of your options to end the agreement, and confirm how much each option may cost you.
Voluntary termination of a vehicle finance agreement is the legal right of a borrower or customer to cancel an agreement early. It means returning the vehicle and then only being liable for half of the overall agreed finance amount (plus any arrears or charges if applicable).
Often an individual’s circumstances can change over the course of a vehicle finance agreement and they need to end the agreement early. In that case, voluntary termination might be the most cost effective option to do that.
Your credit score should not be affected by voluntary termination, so long as you have paid all of your monthly payments on time up to the point you hand the vehicle back.
By Sarah Jane