How Long Can I Keep the Credit Hire Vehicle?

If you’ve been involved in a road traffic accident in the UK and the incident wasn’t your fault, you might be entitled to a credit hire vehicle—a temporary replacement car provided while your own is being repaired or replaced. One of the most common questions asked by drivers in this situation is: “How long can I keep the credit hire vehicle?”

Understanding the answer to this question is crucial, especially when you’re relying on a replacement vehicle to continue daily life as usual. In this article, we’ll explore the rules, limitations, and practical advice surrounding credit hire duration in the UK.

What Is a Credit Hire Vehicle?

A credit hire vehicle is a temporary replacement car provided by a credit hire company to individuals whose vehicles are damaged in non-fault accidents. Instead of paying upfront, the cost of the hire is claimed from the at-fault driver’s insurance company.

This service is especially helpful if your own vehicle is no longer drivable or is being repaired. It ensures you can continue your normal routine—whether commuting to work, taking the kids to school, or attending important appointments.

How Long Can I Use a Credit Hire Vehicle?

The Simple Answer:

You are generally allowed to keep the credit hire vehicle for as long as it takes to get your own car repaired or until your vehicle is declared a total loss (write-off) and you’ve had a reasonable amount of time to replace it.

That said, several factors influence this duration:

1. Repair Timescales

If your car is repairable, you can keep the hire vehicle until the repair is complete. The time this takes depends on the availability of parts, the complexity of the repairs, and the efficiency of the garage.

In most non-fault cases, the credit hire provider will coordinate with the repair shop and monitor the progress to ensure there are no unnecessary delays. If the repair drags on without valid reasons, the at-fault insurer may challenge the length of the hire period.

2. Vehicle Write-Offs (Total Loss)

If your car is deemed a total loss, the credit hire period will usually continue until you receive your settlement cheque and are given a reasonable amount of time to purchase a new vehicle. The definition of “reasonable” can vary, but typically:

1. 1. You are expected to act promptly in sourcing a replacement.
      
   2. Courts have generally accepted 7 to 14 days from the date of receiving funds as a reasonable time to buy a new vehicle.
      

So, in total, your hire car after a non-fault accident may be available for several weeks, depending on how long it takes to receive payment and complete your purchase.

3. Delays in Insurance Settlement

Sometimes delays are caused by the at-fault insurer, such as taking a long time to confirm liability or process the total loss payment. If such delays are not your fault, you are usually entitled to continue using the credit hire car until the matter is resolved.

However, you must be careful to stay in communication with the credit hire company and ensure you are not perceived as causing delays.

4. Your Obligation to Mitigate Losses

In the UK, if you’re driving a credit hire vehicle, you have a legal duty to mitigate your losses. This means:

• 1. You must act reasonably to minimise the duration of the hire.
     
  2. You shouldn’t prolong the hire period unnecessarily.
     
  3. You must be actively trying to replace your vehicle if it’s a write-off.
     

Failing to do so may result in some or all of your hire charges not being recoverable from the at-fault insurer, leaving you liable for the excess cost.

5. What Happens If You Delay Replacing Your Vehicle?

If it is found that you unreasonably delayed the purchase of a new car after receiving the insurance payout, the insurer may argue that you should have returned the credit hire car sooner. They may only pay for a portion of the hire costs and you may be left to cover the rest.

To avoid this, keep records of:

1. 1. Cars you’ve looked at
      
   2. Dealership communications
      
   3. Bank or financing arrangements
      
   4. Any issues that slowed down your purchase (e.g., delays in delivery)
      

6. Special Circumstances

In some cases, such as if you’re waiting for a specific adapted vehicle (e.g., mobility vehicles for disabled drivers), the court may allow a longer hire period. These situations are assessed individually.

Similarly, if you are self-employed and rely on a specific type of commercial vehicle (like a van), the hire duration may reflect the time it takes to source a like-for-like replacement.

7. Can You Extend the Credit Hire Period?

Yes, you can, but only with valid reasons. If, for example:

1. 1. Your repair takes longer than expected
      
   2. The insurance company is delaying payment
      
   3. You’ve genuinely been trying to buy a replacement car but haven’t found one
      

In these cases, an extension may be granted, and the hire company will usually liaise with the at-fault insurer to justify the extended period.

8. What Happens When the Credit Hire Ends?

Once the hire period ends, you’ll be required to return the car. You should be given a clear return date or be notified when your own vehicle is ready. Failing to return the hire vehicle on time may result in additional, unrecoverable charges.

Common Questions About Credit Hire Duration

Q1: Can I keep the hire car until I find a vehicle I like?

Only if you are actively searching and not unreasonably delaying. If you’re waiting for a rare or specific model, you must show evidence of your efforts.

Q2: Will I get a similar car to mine?

Yes, usually you’ll get a like-for-like replacement vehicle, matching the size, class, and type of your original car.

Q3: What if I don’t want the credit hire vehicle anymore?

You’re not obligated to continue using it. You can return it early if you don’t need it, which may help reduce total costs.

Final Thoughts: Know Your Rights and Responsibilities

In the UK, how long you can keep a credit hire vehicle depends on your unique circumstances, but the key principles are:

1. 1. You can keep it until your own vehicle is repaired or replaced.
      
   2. You must act reasonably and avoid unnecessary delays.
      
   3. You should cooperate with both the credit hire company and the insurance firms.
      
      

If you follow these guidelines and communicate openly, you should be able to retain your hire vehicle for as long as it’s reasonably needed—without running into financial trouble or liability issues.