Return Of Goods

[jolene0805]

HI, Just a general question that has been bugging me since I had a car finance CCJ. I fell in to arrears with a vehicle and it broke down and at the time I couldn't afford to fix it. Subsequently I was taken to court for the amount outstanding and a ccj issued for the total amount and I was order to pay £80.00 per month. About 3 months after judgement I went in to hospital for 2 weeks and when I returned home the car had gone and it turned out the finance company had collected the car (parked on roadside),,... subsequently it was sold at auction for very little (as it was a non runner (but only needed about £100 to repair it)). This was all about a year ago. When I came across the original agreement last month I realized that I had paid well over half the vehicle and could of actually handed it back,,,, too late now, but, were they actually entitled to take the car? It says they cant without an order when over 1/3 paid and it was over half. Yes they got a CCJ but did they need a return of goods order???? I know its all a bit late and my own fault but I am intrigued as to whether the finance cowboys towed the legal line - Thanks

[R0b]

Re: Return Of Goods

The CCJ would have overruled the 1/3 paid as the contract had ended and you lost your entitlement. When they obtained a CCJ they should have offset the amount owed with the proceeds from the car regardless of what it sold for. They can't have the car back and the remaining balance owed as that puts them in a better position than if the contract was performed.

But to answer your question, I would say yes they were entitled to it. If proceedings had not concluded and they took the car away, then they would have been in breach.

[jolene0805]

Re: Return Of Goods

Thanks, it was just one of those things that made we wonder. I did actually ask them too and they said they were entitled to it back as it had no tax and was therefore a breach of agreement, which I found odd, I thought not payng was breach enough!

[R0b]

Re: Return Of Goods

sounds like they may be saying there's a clause in the agreement which says the car must be taxed at all times throughout the term and failure to do so would amount to a breach but that would not normally give a right to terminate the agreement. The main cause here would be the failure to pay on time