Voluntary termination

[UltraViolet]

Currently in the process of VTing a car on HP. 50% of the payments have been made and the finance company have been sent both letters and emails (containing the VT template) that they received on the 1st and 2nd Oct.

They have responded (via email) this morning but instead of saying anything helpful, such as info on when they will collect the car or next steps they have just said that they will not process the VT until I call them and speak on the phone despite telling them twice I will only deal with all this in writing due to previous dealings with them.

Can I go back to them and reiterate that this is all kept in writing and there is actually no need for me to phone them at all and insist they simply make arrangements to collect the car?

[R0b]

What is the name of the finance company and could you post up a copy of the email (personal info redacted).

[UltraViolet]

Email is below. Letter was posted first class with proof on the 1st email also sent on the 1st. Email contained the VT template and I asked them to deal with it in writing via post or email. They immediately ignored my request and called but I was unable to answer due to work and wouldn't have anyway.

On the 4th Oct I had another missed call from them so I emailed again re-confirming I wish to deal with it in writing and suggested they email as I can be contacted via this method at any time of day. This morning I received the following -


Thankyou for your email.
I understand you are wanting to process a Voluntary Termination, I can see we have tried to call you regarding this
but we have been unsuccessful in getting in contact with you.
For us to process a Voluntary Termination we would need to speak with yourself directly over the phone to do this.
Is there a best time today you would be able to give me a call?
We are open until 17:30.
I look forward to speaking with you.
On Behalf of
First Response Finance Limited

[R0b]

Up to you how you want to handle it, there's no reason I can think of that they want to discuss it over the telephone instead of writing, unless of course they don't want to have a record of something that might get them into trouble.

Below is an example response, though it is up to you how you wish to word it and the last paragraph is optional since you don't need it but it adds a bit of force behind your email.

Dear Sir or Madam,

I am writing in response to to your email dated <date> regarding my notice to terminate the hire-purchase agreement.

In your email you said that in order to process the voluntary termination, I must speak to you over the telephone. I'm somewhat confused by that statement because Section 99(1) of the Consumer Credit Act 1974 says:

"At any time before the final payment by the debtor under a regulated hire-purchase or regulated conditional sale agreement falls due, the debtor shall be entitled to terminate the agreement by giving notice to any person entitled or authorised to receive the sums payable under the agreement."

All that I am required to do is to give notice to you in writing and confirm that I wish to terminate the agreement; I have done this both by email and first class recorded post. Furthermore, the termination letter explicitly stated that all correspondence should be made [in writing / by email] and this is because I want to ensure that I have a written record in the event of a dispute. Despite this, you have deliberately ignored my request and made several attempts to call me to discuss this matter. I can only presume that the reason why you want to discuss the matter over the telephone is so that you wish to avoid a written record of what had been said, otherwise there is absolutely no reason why this can't be dealt with in writing as per my request. There is no legal obligation for me to handle the termination via telephone and I would like to re-iterate that I do not consent to you calling me by telephone and all correspondence must be put in writing.

I should also point out that my right to terminate cannot be refused and it appears that you are trying to frustrate that process. If indeed this is the case then I am giving you fair warning that unless I hear back from you by 5pm Wednesday 9 October, confirming that you have accepted my termination notice, I will deem your refusal/non response as a repudiatory breach - there is case law confirming that a refusal to perform unless the innocent party complies with conditions not required by the contract is a repudiatory breach. I will then be entitled to accept the breach, terminate the agreement and then seek damages against First Response as if the contract had been properly performed to its conclusion. Any future liability under the agreement would also be discharged as a result of the repudiation.

Whilst writing, I would like this matter to be treated as a formal complaint and expect a response within 8 weeks otherwise I shall consider taking the matter to the Financial Ombudsman and seek compensation for the delay and inconvenience caused by what should be a very straight-forward process. Notwithstanding the complaint, I reserve the right to terminate for repudiatory breach should you fail to comply.

I trust that my position has been made clear.

[UltraViolet]

Thank you so very much, I will get that sent over.

I know from my many other conversations (telephone, they have never ever responded in writing) I have had with them in the past that you are correct, they will want to say things that would get them into trouble.

And there was me thinking this would be the simple part of the process, just getting the car back to them!

[R0b]

That doesn't surprise me. As the response is treated as a formal complaint, they have to respond in writing now.

[UltraViolet]

That e-mail worked really very quickly, thank you again. I expect I will have a much bigger fight with them once the car has been collected but for now - I actually received a helpful response this time but just wanted to clarify something before I respond to them. Part of the email is shown below, I just wondered whether I have to say anything in regards to the condition of the car? I don't want to say anything that could later be used against me in some way! (I have done no damage to the car, barely any miles actually and it was a 9yo car when I got it and I was I think the 5th or 6th owner if that is relevant)

_______________

Looking through your agreement you are past the halfway point and are fully up to date on payments which means
that you have £0.00 liabilities to pay as of today, in regards to the vehicle are there any issues? Or is the vehicle in
full working order? If the vehicle does have any issues once collected and if the vehicle sells less due to any issues
then liabilities can be added to your agreement.
For me to process this I will just need the address that the vehicle is being collected from, information on the vehicle
condition and the best contact number for G3 to contact you on regarding the collection.

[R0b]

You do t have to say anything at all. The condition of the car is a subjective matter but there is nothing wrong with you saying the the car has been reasonably maintained and in a reasonable condition whilst it has been in your position.

No harm in you pointing out that the car was 9 years old and you believe you were the 5th or 6th owner so that should be taken into account. The onus is on First Response to prove any damage whilst it was in your possession not the other way around.

Equally, the sale price has no bearing on the car's condition especially if it was sold at auction. People who go to auction try to get a bargain so it is usual for them to be sold for less than their anticipated price when compared to a sale st a dealership or private sale.

Expect First Response to try and bump you but I dont think they will get very far. You can take it to the Financial Ombudsman if necessary and hopefully get a win in your favour.

One step at a time though.

[Psc2020]

I know there have been several similar posts so apologies.

I have VT’d my Audi after 4 years as it was nearing the end of its lease and I am moving away with no need for a car. I went over the mileage agreed and have now been charged heavily for the excess mileage.

my car was purchased under a hire purchase agreement and I am of the understanding that there are no charges that can be claimed for excess mileage on hire purchase

VWFS have disagreed and said that I will need to pay the amount they are asking for.

any help from similar situations would be much appreciated.

I initially wrote to them to dispute these charges, mentioning sections 99 and 100, part 1 and 4, of the consumer credit act 1974, citing the similar case of Mercedes Benz versus Cahalane Feb 2018.

they then replied stating that clause 11 is worded to ensure that liability for the excess mileage occurs prior to termination and therefore I remain fully liable for any excess mileage charges.

I would like to go to the ombudsman to take this further, but am concerned that VWFS will not give me enough time to do this.