Had a response with a breakdown
Am I right in reading that this may lead to a pro rata refund after I have made payment/returned vehicle? Or a pro rata refund will be calculated and deducted from £917.80?The early termination fee is calculated based on 50% of the unadjusted rental which this would have been the amount before the initial payment is taken into consideration which reduced this to your agreed monthly rental. Upon the vehicle being returned during an early termination the credit control department would review the initial payment paid and dependent of how much was paid if applicable they would arrange for a pro-rated refund to be raised based on the days in possession of the vehicle. Below is a breakdown of the calculation used.
ET of £917.80 is 50% of unadjusted outstanding rentals: 1 x £1,934.10 + 35 x £322.35 divided by 36 months = unadjusted rental of £367.12 £367.12 x 5 - 50% = £917.80
If I'm working things out right, I have currently paid (ex-VAT) £11604.60. Total payment due over term is £13216.35 leaving £1601.75 remaining of which 50% is £805.88. However, using unadjusted figure above, 31 payments at £367.12 I 'should' have paid £11380.72, leaving £1835.60, and the £917.80 is half of that.
So I've actually paid £224 more than I would have unadjusted - therefore a pro rata refund of £112, bringing my payment back to £805?
I know thats complex above but I think I'm right?