Car loan prepayment guarantee company wants liquidated damages.

Legal analysis: this issue needs to be implemented in accordance with the relevant provisions of the car loan contract. Every car loan contract will explain in detail the related matters of early repayment. Under normal circumstances, car loans can be repaid in advance within a certain period of time, and there is no handling fee. However, if the repayment is made in advance before the prescribed time limit, a certain handling fee will be paid. Therefore, except in special circumstances, if the car loan time is not too long and there is a handling fee to be paid in advance, there is no need to return the car in advance. 1. When signing the loan contract, the lending institution and the lender agreed to collect the repayment penalty before the repayment period. 2. When signing the loan contract, the borrower and the borrower failed to realize the agreement. Then at this time, lending institutions usually charge a corresponding proportion of liquidated damages in accordance with industry practices. If the loan is repaid in advance after one year, no penalty will be charged.

Legal basis: Civil Code of People's Republic of China (PRC).

Article 389 The scope of guarantee of a security interest includes the principal creditor's right and its interest, liquidated damages, damages, expenses for keeping the secured property and realizing the security interest. Unless otherwise agreed by the parties, such agreement shall prevail.

Article 585 The parties may agree that one party shall pay a certain amount of liquidated damages to the other party for breach of contract, or may agree on the calculation method of the amount of compensation for losses caused by breach of contract. If the agreed liquidated damages are lower than the losses caused, the people's court or arbitration institution may increase the liquidated damages at the request of the parties; If the agreed liquidated damages are excessively higher than the losses caused, the people's court or arbitration institution may appropriately reduce them at the request of the parties. If the parties concerned pay liquidated damages for delayed performance, the breaching party shall also perform the debt after paying the liquidated damages.

Article 588 Where the parties have agreed on both liquidated damages and deposit, if one party breaches the contract, the other party may choose to apply the liquidated damages or deposit clause. If the deposit is not enough to make up for the losses caused by one party's breach of contract, the other party may demand compensation for the losses exceeding the deposit amount.