How I’m using a lesser-known financial right to challenge unaffordable payments, protect my credit score, and avoid thousands in unnecessary debt.

L'auteur partage son expérience en cours de résiliation d'un contrat de location avec achat, en utilisant son droit légal pour se protéger contre des paiements non abordables et préserver son score de crédit.

**⚠️ Just to clarify - this is still ongoing. I haven’t resolved it yet, but I wanted to share my current experience in case it helps others understand their options sooner.** *Mods, if this post ends up being slightly outside scope, I apologise. I’ve read the rules, and I believe this sits in a bit of a grey area, but at its core, this is 100% about personal finances.* *This isn’t legal advice, just my own experience of how I took back control of my financial situation, took steps to protect my credit, and avoided unnecessary payments during a tough time.* I wanted to share a financial situation I’m still navigating that might help others take early action to protect their credit and avoid unnecessary debt. I have a car on hire purchase, **and after serious mechanical issues left it unsafe and also uneconomical to repair**, I initiated my legal right to voluntarily terminate the agreement, something many people probably don’t realise is even an option. Under **Section 99 of the Consumer Credit Act 1974**, a customer has the right to voluntarily terminate a hire purchase or PCP agreement at any time, provided that: * At least 50% of the total amount payable under the agreement (including interest and fees) has been paid * Written notice is given to the lender * The vehicle is made available for return This right applies regardless of whether the car is in perfect working condition. However, the lender may assess the vehicle for damage beyond fair wear and tear after termination and may seek to recover reasonable costs if applicable. “You need permission”, and “the car must be roadworthy” are common myths. The law doesn’t require either if you’ve met the 50% threshold and made the car available. Despite this, the finance company refused. They claimed I couldn’t terminate due to the car's mechanical condition and implied I should keep paying. Legally, that’s incorrect and could lead to credit harm or wasted money. So here’s what I did: * I cancelled my di