Voluntary Termination (VT)

What is Voluntary Termination?

Tim Carpenter

Under UK law, you have the right to voluntarily terminate your finance agreement and hand the vehicle back as long as you have repaid 50% of the total amount payable (not just of the amount borrowed, you need to include interest and fees, and the balloon payment on a PCP as well). If you’ve not already paid 50%, you can also choose to make a one-off payment to make up the difference.

You’ll need to contact your finance company to kick-start this process, but you’ll be able to find the total amount payable and the termination amount on your car finance contract. Keep in mind that if your car has any damage – beyond everyday wear and tear – you may also face additional charges.

When you’re ready to find finance again, get a quote to find out more. Rates from 7.9% APR. Representative APR 21.9%.

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No impact on your credit score Rates from 7.9% APR. Representative APR 21.9%

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Tim Carpenter
Tim Carpenter Car Finance Expert
5 years
Total cost of credit £ 2000
Total repayment £ 2000
48 monthly
payments of
£ 245 98
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No impact on your credit score

Rates from 7.9%: the exact rate you will be offered will be based on your circumstances, subject to status.

Representative example: borrowing £6,500 over 5 years with a representative APR of 21.9%, an annual interest rate of 21.9% (Fixed) and a deposit of £0.00, the amount payable would be £172.09 per month, with a total cost of credit of £3,825.54 and a total amount payable of £10,325.54.

We look to find the best rate from our panel of lenders and will offer you the best deal that you’re eligible for. We don’t charge a fee for our service, but we do earn a commission. This does not influence the interest rate you’re offered in any way.

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Voluntary Termination of Car Finance

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CarFinance 247 is a trading name of CarFinance 247 Limited. Registered office: Universal Square, Devonshire Street North, Manchester, M12 6JH. Registered in England. (Registration Number 06035525).

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Finance is subject to status and is only available to UK residents aged 18 and over. Written quotations are available on request.

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