PAYMENT DIFFICULTIES.

IF YOU ARE IN PAYMENT DIFFICULTIES AND ARE UNABLE TO PAY YOUR MONTHLY REPAYMENTS.

Please note that following the expiry of the Financial Conduct Authority (FCA) guidance for motor finance payment deferrals on 31 October 2020, we are no longer accepting online applications for payment deferrals.

If you are experiencing payment difficulties, whether or not you have had a payment deferral since the start of the Coronavirus pandemic, please contact us so that we can discuss the options available to support you.

We also recommend you seek independent debt advice to help you decide on your options. Click here for information on sources of free and impartial debt advice.

We recognise you may be facing uncertainty at this time and that it may be difficult for you to make long term decisions in these circumstances. Please do not let this prevent you from contacting us. We can talk to you about the possibilities for a further short-term arrangement to give you more time to get back on track or until your financial prospects become clearer to you.

One potential option that might be suitable for you (depending on your particular circumstances) is a payment arrangement under which you would make a reduced monthly payment at a level you can afford for a period of time - or possibly no payments for a short period - and subsequently making up the arrears that accrue.   

When considering an amount you can afford to pay, it is important that you take into account other debts, financial obligations and essential living costs.   

You may wish to refer to the Money Advice Service’s Money Navigator Tool at to help you consider whether this type of arrangement is right for you.  You can find this free tool by searching for ‘Navigator’ at www.moneyadviceservice.org.uk   

We would need to agree any such arrangement with you first. We can talk to you about the details of such an arrangement and how it may help you.   

Please note that any arrears that accrue will be reported on your credit file and may affect your future credit applications. Please see below for more details.  

The most appropriate option for you depends on your own individual circumstances. 

If you have a hire-purchase agreement (HP or Personal Contract Purchase - PCP) that is regulated by the Consumer Credit Act, you have the right to end your agreement early (known as ‘Voluntarily Termination’) if you no longer wish to keep the vehicle. You will have to:  

  • Return the vehicle, and  
  • Pay for any vehicle damage and/or excess mileage, and 
  • Pay any arrears (please note any payments we have deferred under a payment deferral made between 27 April and 31 October 2020 are not treated as arrears for this purpose), and 
  • If you have paid less than half of the Total Amount Payable under your agreement, you will also have to pay the difference between what you have paid and half of the Total Amount Payable. 

If you wish to discuss this option please call us. If you are unable to make full payment of the above sums at this time, we may be able to agree an arrangement for you to make payment over a mutually-agreed timeframe. 

You may wish to consider settling the agreement by paying the settlement figure and then keeping or selling the vehicle.   

A settlement figure can be obtained by logging onto your MyFinance account. If you do not yet have a MyFinance account, this can be easily set up using the same link.  

As you will be keeping the vehicle, the amount you will pay will usually be higher than on a Voluntary Termination.  

If you are in payment difficulties, we want to talk with you so we can try to support you.   

If you are unable to resume your monthly payments and do not reach agreement with us on how to proceed, you will build up arrears and we may become entitled to end your agreement and repossess the vehicle. We would give you notice before doing so and before taking the vehicle back we may need to apply to court for permission. We would of course take into account local and/or national Coronavirus restrictions.   

After repossessing the vehicle there may be an outstanding balance for you to pay after we have sold the vehicle and a Default would be recorded on your credit file with Credit Reference Agencies. 

As required under consumer credit reporting requirements, we will report any arrears to your credit file to Credit Reference Agencies.  For example, if we agree an arrangement for you to pay a reduced monthly amount for a period, the shortfall that arises will be reported as arrears.   

If we have deferred any of your payments under a payment deferral made between 27 April and 31 October 2020: while we have not reported a worsening status to your credit file in respect of your payment deferral, your deferral may still affect our and other lenders’ future lending decisions. We and other lenders may take into account other information resulting from a deferral when making future lending decisions to ensure a suitable affordability assessment is made, e.g. information provided by applicants or bank account information.   

ACCESS TO FREE AND IMPARTIAL DEBT HELP AND MONEY GUIDANCE.

Free and impartial debt advice and money guidance is available at not for profit advice bodies. Please see: 

You can get guidance or not-for-profit debt advice through both digital and telephone services and, subject to local pandemic restrictions, face to face. See www.moneyadviceservice.org.uk for details.  

If you are confident you are able to deal with your debts without the need for full debt advice, we recommend you: 

  • Work out a budget. Resources are available via the FCA information page mentioned above. 
  • Contact all your creditors to discuss your repayments.  

For most people it makes sense to pay essential expenses and priority debts before any discretionary expenses or non-priority debts. To see if this is right for you, you can use online guides such as the Money Advice Service ‘How to prioritise your debts’ page. 

OUR CONTACT DETAILS.

You can call us on 0370 5050 123.  Our lines are open Monday to Friday 8.30am to 6.00pm and Saturday 9.00am to 12.30pm.   

Alternatively, you can email us at:   customer.accounts@minifin.co.uk 

Please be aware that we are still experiencing high volumes of enquiries as a result of the ongoing impacts from COVID-19, so telephone waiting and email response times may be longer than usual. Please do not let this put you off calling us. We know some of our customers will be experiencing uncertainty and economic hardship as a result of Coronavirus and we want to work with our customers through these difficult times.