Can I terminate a PCP early?

I have a Smart EQ ForFour electric car which I leased Feb 2019. The lease runs for three years. I'm a year in and I’d like to hand the car back. I have only covered 1400 miles in the last 12 months. It is nothing to do with Coronavirus.

Asked on 7 April 2020 by Starlitegaize

Answered by Dan Powell
You will need to check the terms and conditions for a voluntary temptation of the contract in the PCP documents. Usually, you will need to be at least 50% though the agreed contract before you can end the contract early. It may be possible to do it sooner, but you will be asked to pay a penalty fee to do so. Speak with the PCP provider and explain your personal circumstances. They may be able to restructure the debt (and lower the monthly payments) or provide a payment holiday to give you the breathing space you need to assess your finances.
Tags: pcp finance
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