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Discussion Starter · #1 ·
i am desperate to get out of a bmw finance agreement i took out 14 months ago...i have recently be made reduntant from work (stupid construction industry) and i am desperate to off load my bmw 320 d sport 2006 reg. i have spoken to bmw finance and as suspected they are not willing to offer me a helping hand - they are offering me 11k for the car - the finance is for 15 k so that will leave me with a debt of 4k some joke..i know the car is worth alot more but they know i am desperate to sell so they are offering me a shit price....word of warning never go with bmw for finance i took out a hire purchase with the for 17k after putting down a 3k deposit for this car at the end of four years i will have repaid 27 k plus there will be a baloon payment of 7 k at the end - some joke never again :mad
 

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there is a clause in a HP agreement known in the trade as halves and thirds. Basically when you have reached halfway of your payments you can hand the car back to the finance company. Also known as voluntary termination.

Take a look at your agreement and there should be a part on the agreement called "termination of your rights" and it will have a figure. This figure will be the halfway point of your agreement, its half the total amount payable.

So if your payments are £200 per month over 60 months, your total amount payable is £12000 and halfway is 30 payments or £6000, both are the same.
 

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Discussion Starter · #3 ·
thanks mate i have mention that to bmw but they are advising me that i still have another 16months paying 340 a month before i reach the half way mark...but having looked at the HP again i think they are trying to bullshit me.....i have done the maths as follows please advice if i have missed something....the HP was for 26 and a half k including interest and admin fees. half of this payment is 13 250 so far i have paid 340 for the the past 14 months. i have asked them for a settlement figure which is just under 15 k so i have no idea how they have worked out i have another 16 months payment to go....unless they are adding on the 7 k baloon payment which should be dealth with at the end of the 4 year year HP agreement .......please help
 

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Discussion Starter · #6 ·
thanks mate i appreciate it, i really am desperate to get out of this agreement i am been absolutely robbed at the moment, they suggested selling the car privately but i have a feeling no one will be interested in the car as its on a HP Deal...
 

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thanks mate i have mention that to bmw but they are advising me that i still have another 16months paying 340 a month before i reach the half way mark...but having looked at the HP again i think they are trying to bullshit me.....i have done the maths as follows please advice if i have missed something....the HP was for 26 and a half k including interest and admin fees. half of this payment is 13 250 so far i have paid 340 for the the past 14 months. i have asked them for a settlement figure which is just under 15 k so i have no idea how they have worked out i have another 16 months payment to go....unless they are adding on the 7 k baloon payment which should be dealth with at the end of the 4 year year HP agreement .......please help
Dont meant to sound harsh but you did sign the agreement which will have stated all this info.....

And 4 years finance is 48 months...so halfway through that is 24 months, and you say you have been paying repayments for 14 months, meaning you have 10 months to go before you are halfway through the finance agreement!!

if it makes you feel any better I am currently paying about £180 a month + to run this forum (with bandwidth charges for LOTS of Gigabytes per month)..and I dont even have a nice car to show for it :shifty::eek:D
 

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AFAIK, the BMW finance deals like most finance are loaded up front with the interest and set up charges meaning that for some period of time you are not actually paying any capital off.

Also, with the secondhand market softening, many of the balloon payments are exaggerated versus the actual market. There will be a fair amount of cynical talk from dealers keen to prevent egg on their faces further down the line.

Your best bet IMO would be to get a printed copy of the settlement details from BMW then market your car privately. You will have a gap whatever as harsh as that may sound, but the fact it has finance on it, if you clear it with the purchasers money and the finance company declare no interest in the vehicle then there should be no issues.
 

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AFAIK, the BMW finance deals like most finance are loaded up front with the interest and set up charges meaning that for some period of time you are not actually paying any capital off.

Also, with the secondhand market softening, many of the balloon payments are exaggerated versus the actual market. There will be a fair amount of cynical talk from dealers keen to prevent egg on their faces further down the line.

Your best bet IMO would be to get a printed copy of the settlement details from BMW then market your car privately. You will have a gap whatever as harsh as that may sound, but the fact it has finance on it, if you clear it with the purchasers money and the finance company declare no interest in the vehicle then there should be no issues.
Good points Mark, but not many buyers will want to take a car on if its still under HPI agreement....

Im not sure how it works if you dont declare it, possibly would be ok but if they do a HPi check, then it will take some explaining!!!! Even if its a genuine reason.

Also, its illegal I believe to sell a car without declaring something like that.

Maybe someone else will know some facts on this
 

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Good points Mark, but not many buyers will want to take a car on if its still under HPI agreement....

Im not sure how it works if you dont declare it, possibly would be ok but if they do a HPi check, then it will take some explaining!!!! Even if its a genuine reason.

Also, its illegal I believe to sell a car without declaring something like that.

Maybe someone else will know some facts on this

You are right. The purchaser needs to be made aware, but they are able to pay finance company directly to clear the finance I believe, any shortfall being made up by the seller. It's not easy when there is negative equity involved for sure.
 

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Discussion Starter · #12 ·
i have spoken to the very helpful people at bmw financial i am ok to sell the car only if i receive a decent offer for the car, they will agree for me to sell the car and set up a direct debit to pay off the negative equity....im feeling proper shit a moment = imagine paying 20 k for a car 14 months and now been told the car is only worth 11k - does anyone think they are talking the piss offering me 11 k for the car or is it worth more from what i have seen on auto trader i could possibility get alot more for it

car is spotless 320 d sports 17 inch alloys 39 k miles on the clock silver
 

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my insurance is 110 a month but that coz i have only been driving for just over 2 years and i have 6points for silly speeding fines
do you know how much extra you'll be paying at the end of the 12 months? when you have high premiums, the adiitional you pay becomes quite an amount itself.

FAO original poster. FWIW< when I bought my bike, I bought it from a dealer, they told me it had finance on it and I felt like running a mile. However the dealer was genuine. So I said OK, I'll give you the money, but I was all evidence, from him, the finance company that I've paid for the bike, the finance is to be paid and sorted by the dealer/previous owner and I fully own the bike with no toss pots from a finance company littering my mailbox with payment demands. Tell you what my rear end was twicthing for months after even!! however it all turned out spot on with no bother.

As a result, I would consider buy a car with outstanding finance, provided the dealer sorts it all out etc, they have the contacts and do it day in and day out so they know how to get things done quick . Try contacting a few local independant car dealers, saying hey, sell the car for me, sort out the finance and see what % they'll take..... you never know!!
 

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Discussion Starter · #17 ·
i have tried contacting plenty of places to seee if they would offer me a part exchange but once i mentioned the finance on the vechile they are not interested....if there is 2 much negative equality they cant do anything about it - i have learnt a valuable less never go with them wankers from bmw for car finance they take the piss and keep u tied in no matter what
 

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Gerry, I would ask the dealers/BMW finance for some absolute clarity on what they will accept for a walk-away, negotiate with the current value, etc.

In fairness, the market has mucked up so many of these BMW finance deals. Your car would probably have been worth another £2-3k if the market had remained stable, and the settlement would have appeared reasonable. I know this doesn't help you at the moment.
 

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Discussion Starter · #19 ·
there is no negiotating with them for some reason the settlement figure stands at 15 k but for me to hand back the car i would be required to continue the repayments for another 16 months (ie half the total value of the finance agreement - the thing thats pissed me off the most is that they are unwilling to help existing customers who are struggling with this current economical shit climate - they would prefer talking the car back off me and sell it at a very lower price at auction and they send the debt collectors after me some fucken joke
 
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