Voluntary Termination Calculator
Under sections 99 and 100 of the Consumer Credit Act 1974, you have the right to hand back a car on HP or PCP once you have paid 50% of the Total Amount Payable (TAP). Use this calculator to check your eligibility and see how far away you are.
Frequently asked questions
What is voluntary termination (VT)?
Voluntary termination is a legal right under sections 99 and 100 of the Consumer Credit Act 1974. Once you have paid at least half of the Total Amount Payable (TAP), you can hand the car back to the finance company and owe nothing further — provided the car is in reasonable condition.
Does VT apply to PCP and HP?
Yes. VT applies to any regulated hire-purchase or conditional sale agreement, including PCP. For PCP, the TAP includes the balloon payment (GFV), which makes it harder to reach the 50% threshold from monthly payments alone. For HP, TAP is simply the deposit plus all monthly payments.
What does "reasonable condition" mean?
The finance company can charge you for damage beyond normal wear and tear — for example, dents, scratches beyond fair use, or mechanical damage caused by neglect. Normal tyre wear, minor stone chips, and age-related wear are not chargeable. The FCA and BVRLA guidelines provide benchmarks.
Can I VT if I am in arrears?
Yes, you can still exercise your VT right even if you have missed payments. However, the finance company can pursue you for the missed payments themselves (as a separate debt), and any arrears count toward the 50% threshold only if they are actually paid.
Will VT affect my credit score?
A voluntary termination itself does not create a negative mark on your credit file — the agreement should be marked as "settled" or "voluntary termination". However, if you were in arrears before VT, those missed payments will remain on your file for six years.
These calculations are estimates based on 2026/27 HMRC and DVLA rates. Speak to a lender or qualified financial adviser for a personalised quote.