What Car? Q&A - Can I get out of my lease purchase deal?

Q: I have an Audi A3 on a four-year lease-purchase deal and I am nearly two years into it. Is it true that I can hand the car back after two years without penalty and without damaging my credit rating?
Neil Follows

A: Under the Consumer Credit Act, once you have paid more than 50% of the total amount payable in an agreement, you can hand the vehicle back to the finance company and walk away without having to make any more payments.

However, the car will have to be in an acceptable condition and only display a reasonable amount of wear and tear. The finance company may present you with a bill if they feel that you have not taken good care of the car or have covered excessive miles. The small print on your finance agreement should outline the details.