Mis-sold HP when buying my car.

[Classylou]

Hoping some knowledgable people can help me with some advice please...
After finishing university and starting my first job. I asked my father if he would be agree to getting me a car on finance and I would pay the instalments which he agreed to do. Subsequently, I found a suitable car and explained to the dealership our intention, for the finance to go into my fathers name and the car would go in my name. At no point was it ever suggested to us by the sales person that this was not allowed or was illegal. Consequently, the finance was arranged in my fathers name and the sales person asked me to sign the registration document which they then sent off and returned in my name & address. I have the car now in my possession for two years when myself and my father went back to the dealship to inquire about an upgrade. I was astounded & upset to hear from the sales person that the arrangement myself and my father had undertaken and guided by the dealer was illegal and was known as "fronting".
Had my father and myself been advices of this by the dealer we would never of agreed to the arrangement but at no point was this ever explained to us by the dealership sales person. It is also very concerning that should of something happened whilst I was driving the car my insurance could have potentially been void had they also had this information.

My question is due to the dealership not advising us of the deception and fraud that they had entered us into. Do we have a legal right to request my money back which I have paid over the two years since buying the car off them, if I was to return the car back to them??

The dealership has proven that they will commit an illegal act just to make a sale and this could have ended much worse but fortunately for my father & myself this was not the case.

Advice is greatly received...

[stevemLS]

Re: Mis-sold HP when buying my car.

I'm not really sure what you are talking about.

There is nothing unlawful about your father taking finance in his name for a car for which you are the registered keeper any more than there would be if he lent you the money directly.

"Fronting" would be where he insured it in his name knowing that you were the main driver, in order to reduce the insurance premium.

Insurance is normally nothing to do with the dealer and is, in any event, YOUR responsibility.

If the car salesman had said to you that the moon was made of cream cheese on a Saturday and so you didn't need insurance that month, it wouldn't assist you in defending a charge of driving without insurance. As a driver you are responsible for ensuring you and your car meet the necessary legal requirements.

Why do you think you would be able to get your money back on a car you have used for two years?

I really don't follow.

[des8]

Re: Mis-sold HP when buying my car.

Sorry Steve but I tinks you are wrong!

If Dad lends you money to buy a car .. fine.
If Dad signs the finance deal in his own name the vehicle has to remain in his name and possession, The terms & conditions have almost certainly been breached.

Obviously you and your father had no intention of deceiving the finance company, and as long as the instalments are maintained there should be no problem.
As there was no intention to deceive it would be difficult to prove fraud
The salesman should have known what you were doing breached the contract with the finance house, and is possibly guilty of a breach of trust in relation to the finance company.

These are basically civil offences and not illegal in the sense they contravene statutory law

I assume (probably wrongly) that as a recent student you either have lots of loans already, or a bad credit record

In whose name is the insurance, and who was described as the owner on the proposal form?

[wales01man]

Re: Mis-sold HP when buying my car.

Was the Insurance company told the son was to drive the car owned by the father and insured by the father? who filled in the insurance application the dealer?
If it was the fathee they would be the ones to blame ?

[stevemLS]

Re: Mis-sold HP when buying my car.

It is not wrong in principle and I have no idea what the terms and conditions of the finance were or whether there was an explicit term requiring that the car remain in the possession of the father?

[nemesis45]

Re: Mis-sold HP when buying my car.

I agree, there is no problem with the HP and the Owner/Keeper situation. BUT could the following be what the dealer referred to.

On HP the insurance I think would need to be fully comprehensive with the main and named driver shown on the policy/certificate.

[des8]

Re: Mis-sold HP when buying my car.

Fronting is considered a fraudulent finance application,( as it enables a person who is probably an unacceptable credit risk to become the main driver), and if the lender becomes aware they MAY terminate the agreement,

That said fronting happens often and is rarely discovered by the lender and the agreement runs to term.

The problem regarding insurance is that only the owner can insure the vehicle, only they are deemed to have insurable interest.(although that's not quite completely accurate!)
The owner is the finance house/debtor.
So if the proposal form was completed shewing OP as owner, there could be problems in the event of a claim.

[wales01man]

Re: Mis-sold HP when buying my car.

Who is at fault? the father for making a false declaration on a policy quote

[des8]

Re: Mis-sold HP when buying my car.

http://www.creditplus.co.uk/car-fina...ms/f/fronting/
see example 3)