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Car finance question


Established Member
I bought a MK5 golf on vw solutions finance with monthly payments over 3 years then the option to either pay a set figure after 3 years or walk away etc.

Does anyone know if i am able to end the deal earlier and change to a new golf after say 18 months or do i have to wait until the 3 years is up.

I just fancy a new mk6 golf


Prominent Member
I dont see any reason why not, but you can bet it will not be in your favour financially to do so.
Who you really need to talk to, is your finance company, because ultimately, it doesnt matter what anybody on here tells you.


Prominent Member
i'd agree.. you'll be able to chop it for a newer one for sure -they'll want the business! but expect some kind of penalty on your current agreement for doing so.


Established Member
its entirely down to what the car is worth at the moment if it around what is outstanding on the finance you can do it but with used car values dropping dont bet on it i have a peugeot 207 on a similar deal 10 months to go the balance outstanding is 6k trade in is 5k so just going to let it run its term.


Distinguished Member
Just chopped in my focus under the same sort of finance package and they go from the book price rather than the guaranteed settlement price so worked out that I lost about £1000 for changing early:thumbsdow


Prominent Member
yup on a pcp deal you can change at anytime but there is a good chance that you will owe more than the car is worth.

PCP's are a great way to buy a new car if you change every three years or so BUT if you think about it their is always that GFV or lump sum that you are never paying off, so the equity (sp) you will have if you wish to change early will almost always be negitive defo (sorry about defo) in todays market - I would say unless you are willing to take the hit just stick with your car untill close to your end of contract, unless you are my customer:devil:.

richard plumb

Distinguished Member
I have a BMW 330Ci under BMW select, still with 2 years to run. i'm assuming with the current situation that the car will be worth nowhere near the MGFV. so i'll end up just walking away with no deposit for the next car.

Bearing that in mind, is it worth pulling out earlier (I think you can cancel after half the overall credit has been paid?) or just stick it out, treat it as a rental and prepare to start over in a couple of years time?

RB5 Paul

Established Member
whether u can hand the car back early depends on the finance agreement, if you have the right to voluntarily terminate your agreement it is usually when you have paid 50% of the total amount payable, look at your finance docs and it will say the amount borrowed plus the interest which is the total amount payable, if you have paid off more than 50% then you could be in a position to hand the car back and not be liable for negative equity. But everyones agreements vary so have a good read of your finance agreement. Plus if you have borrowed over £25,000 then it becomes a non regulated agreement and you wont be able to hand the car back without stumping up the neg equity in a px situation. But it may still be possible to px the car and refinance the shortfall in with your new car.

Hope that helps..

PS BMW finance have put aside 24 million to cover the shortfall in gfv's, the joys of buying "prestige mondeo's" bites everyone in the end :suicide:


Established Member
Best thing is to check your finance doc's, i just bought an '06 Saab 93 through Black Horse Finance and in that i can hand the car back, with no come back anytime after i haved paid back 50% or more. Good luck !!

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