- 24 August 2017 at 1:38 pm #118558
A few months ago I signed a PCH agreement for a SEAT Leon for delivery on 23rd Sept. A couple of days ago the leasing company called me to say the car was now with them but it wasn’t the spec I ordered – it was the next spec down.
I said I now didn’t want the car as it wasn’t the car I wanted. They said I would be charged an early termination fee. I argued that I wasn’t going to receive the car I wanted.
Am I right to have refused the car? Do you think I will have to pay an early termination fee?
- 2 September 2017 at 11:51 am #119345
Hi Richard. It will depend on the contract you signed with the leasing company and what they are entitled to do within that contract.
If they have broken the contract, they can’t charge you anything. However, there may be a clause that allows them to substitute a different spec if your original vehicle is not available.
- 25 September 2017 at 5:30 pm #120440
Hi looking for some advice in regards to my BMW purchased march 2016 over a pcp deal for 4 years.
We are now 18 months in and have asked for a voluntary half term figure which was £13,413 we have paid just now £6202 therefore I’m unsure of how it works to hand car back the car has been valued at £14,795 which is more than the half term figure. Any help would be appreciated
- 6 October 2017 at 4:25 pm #121587
Hi Stephanie. The voluntary termination amount is half of the total amount payable, not halfway through the term. On a four-year PCP, you probably won’t reach that point until about three years. That’s why you car is worth more than that now, since you’re only 18 months in. In another 18 months’ time, your car will presumably be worth considerably less than the VT amount.
For more information, have a read of our guide to voluntary termination of a PCP.