Question of the week: Early Termination

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Lady driving a classic american car

Hundreds of form submissions and emails hit our inbox each week, and over the next few months we’re going to take a few of these and answer them on our car subscription blog.

Early Termination

An Early Termination is where you have agreed to a minimum contract period and you want to cancel or terminate your agreement early.

Due to inflation and the higher cost of living, we have had quite a few questions with regard to Early Termination, so here are three questions that we hope will answer your question.


I have taken a 24-month car subscription with Cazoo and have so far managed 6-months, I don’t want to pay out for the car anymore. What are my options?

Whilst it’s always tempting to commit to a longer-term car subscription to get the best price, circumstances can change from a new job to a family extension (yes, we mean a new baby on the way). It is always best to weigh up the possibilities of change before signing into any contracts.

The good news is that Cazoo is one of the few car subscription companies in the UK that write a paragraph into their terms and conditions allowing an Early Termination. At the time of writing, they require 1 month written notice and a £500 early termination fee.

More details can be found here: Cazoo Early Termination


I‘m in the market for a flexible car subscription but I don’t quite know how long I’ll need it for, have you got any recommendations?

If you are unsure of the length of time you will need a car subscription for, it’s not an issue. You just need to look for a supplier that offers flexible contracts such as Cocoon Vehicles, Flexed and Flexigo cars. These all offer 30 day month-to-month rolling contracts with incentives if you agree to a minimum term.

Even if you want to send the car back during the minimum term, many of the suppliers just charge you the higher rate based on a shorter period. Some only charge you for the time you are in the car!

Click on the highlighted links above to find out more about the companies.


I’ve taken a fixed contract with a supplier for 12-months and want to send it back after 3-months, the company is charging the balance of the contract, is this right?

This particular contract sounds more like a short-term car lease than a car subscription, but having read through the terms and conditions of the agreement that you sent over, this looks correct.

The contract states that you must give one month’s written notice on top of this they request the balance of the contract equal to 100% of the outstanding rentals to be settled.

Depending on your circumstances, it may be worth keeping the vehicle to the end of the contract as you’ll be paying the same amount of money out of your bank either way.

In the future, we would definitely encourage you to consider a flexible car subscription or a shorter contract if you still want to commit to a fixed contract, sometimes there isn’t much difference on price.


More Information

If you would like more information about any of our listed subscription providers, take a look at our compare page to find out which ones fit right with your own personal circumstances. Find the ones that include insurance or those that offer truly flexible contracts.

Disclaimer

All information provided is correct at the time of publishing (31st May 2022), we do not accept responsibility for any incorrect information. Advice is given for information and not to be taken as legal or contractually binding.

Care Subscriptions UK has affiliate agreements with one or all of the providers. If you click through to their websites and/or proceed to take out a subscription contract, we may receive a small commission. This does not affect the price you pay.

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Post Published: May 31, 2022
Post Last Updated: May 31, 2022
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