Pcp "50% rule" Voluntary Termination

Looks like you’ve a hire purchase loan and not PCP but the half rule can still be invoked. It would be half of the HP Price as mentioned so just under 28K.

The grants reduced the overall cost of the car but not relevant to the half rule.

Apart from it saying Hire Purchase in your screenshot there is no mention of the baloon payment at the end of the PCP you’d expect to see. If you’re sure you’re on PCP then maybe you’re showing the wrong figures.

Would the 50% rule not be half the repayable amount? So €21,304.81?

The half rule is part of the Consumer Credit Act 1995 and gives you the right to end a PCP or HP agreement at any time. The half rule limits your liability (the amount you are responsible for) to half the PCP or HP price of the car. Your documentation (the agreement) from the finance company must show the figure for half the PCP or HP price of the car. This is different to the price you paid for the car as the PCP or HP price will also include the interest charged by the finance company.

• If you have paid less than half of the PCP or HP price of the car, you can give the car back, and you will only owe the difference between what you have paid, and half of the price of the car. You do not have to pay half the PCP or HP price to the finance company before you end the agreement. However, you will have to pay the difference between the payments you have made to date and half the PCP or HP price.
• If you have paid more than halfof the PCP or HP price of the car and have not missed any payments, you can end the agreement and hand back the car. You will be responsible for the cost of any repairs that are necessary. If you have paid more than half of the PCP or HP price, you will not be entitled to any refund.

Can you use the half rule even if you are in arrears?

Yes – you can end your agreement and use the half rule while you are in arrears. However, you will still owe the arrears to the finance company. They may also have the right to charge you additional interest on your arrears – called surcharge interest. You need to check your original agreement to confirm the amount of interest they can charge on those arrears.

taken from ccpc

Used it on a vw id4 which was worth 10k less than the current finance amount.

Sent the letter, called them and told them, they were not happy and tried to talk me out of it.

Next day a guy came and picked the car up, it went to auction a week later.

Double check the specific clause in your contract which will state the amount which quantifies as 50%. Ensure you follow the hand back process and document everything.

I think anyone who bought one before the significant price drops got stung on their PCP.

Must be a lot of people handing them back, people who read the contract anyway.

Couldn't tell you. Tried to read it, but fell off the sofa.

what car are you trying to hand back? What valuations have you been given on it?

Why do you want to give it back?

no. It’s not.

Can I ask a question (as someone who has never dabbled with PCP).

From the statements posted, it looks like OP bought a car worth €52k, part-exchanged a car worth €33k, and still owed €42.5k? Unless I'm reading that wrong, that seems like a crazily bad deal?

Literally says it right there, 27 941,32.

Which is half of the 55 882,63.