Barts v TFC

[Shira]

Hi everyone,
I am trying to help my close friend & I offered to write their letters for them to reclaiming the unlawful charges.

He took out loan with TFC, for a car in 2004, for £7,325.00 in 2004 & the payments were £306.32 per month & finished last July, 4 years ago, he was desperate for a car & couldn’t get a loan because of his bad credit history but he managed to get a loan from TFC & the car salesman took full advantage of his position & he ended up signing for a car that he couldn’t afford with a 38.3% interest rate APR, the salesman didn’t explained to him at the time because of his disability.

Also I noticed they’ve sold him with PPI & ‘Gap Insurance’ at the time
(I will ask him if he was told at the time that without these insurances, he would not get the loan)

Can anyone please advice me which fees he can claim back?

Loan ….. £7.325.00 total £19,463.56
Monthly payment £306.32
Interest debited £6,683.36
Credit Protection Insurance = 279.77 monthly payment
Gap insurance….. £306.32.
2 Year Warranty….£695.00

Option fee………..£195.00
Admin Fee……….£370.00
Unpaid Direct Debit Fee….£250.00
Default Fee (Memo)…… £500.00

Many thanks

[Paule]

Re: Barts v TFC

Credit Protection Insurance = 279.77 monthly payment
You can make a claim for this if it was mis-sold


Unpaid Direct Debit Fee….£250.00
Default Fee (Memo)…… £500.00
You think you need to double check these figures, should be £25 & £50 I think.
These you can possibly claim back if they have occured

Many thanks

Have you got a copy of the credit agreement. as well as a statement of account listing any charges levied

PKea

[Shira]

Re: Barts v TFC

Hi Pkea, thanks for your reply, the charges are correct when I added them all up. I think he kept all the original copies & a copy fo statement of account but I cant find the one for the PPI but will leave that out till last.

One more thing, will the loan be on hold like the banks?

Thanks Shira

[scoobydoo]

Re: Barts v TFC

"with a 38.3% interest rate APR, the salesman didn’t explained to him at the time because of his disability. "

Can you explain this part in your post. Are you inferring that your friend was not capable of understanding the agreement he signed?
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Hi Pkea, thanks for your reply, the charges are correct when I added them all up. I think he kept all the original copies & a copy fo statement of account but I cant find the one for the PPI but will leave that out till last.

One more thing, will the loan be on hold like the banks?

Thanks Shira

the court case only refers to current accounts

[Shira]

Re: Barts v TFC

Thank for your reply, he is profoundly deaf that is why he was not capable of it. I am having trouble finding a suitable prelim letter for the loan.

Thanks

[Shira]

Re: Barts v TFC

Hi, Can someone point me in the direction of a template for reclaiming loan charges from TFC please, I can only seem to find Credit Card & Bank ones.
THanks

[Budgie]

Re: Barts v TFC

HI Shira,


Here's a draft you could use for return of the charges ( Unpaid Direct Debit Fees of £250.00 and Default Fees of £500.00 ). You will need a different letter to reclaim the PPi charges which you should do seperately.

I really would like to see a copy of the terms and conditions though Shira and advise you to post them up here before sending of the preliminary letter.


Rgds Budgie





I am writing to request a refund of £xxxxx for penalty charges levied from my account No xxxxxxxxxxxxx between xx/xx/xxxx to xx/xx/xxxx plus interest of £xxxx.

I believe that your charges were disproportionately high and did not reflect any actual or real loss incurred by you as a result of my breaches of contract. Therefore your charges constituted contractual penalties, which are irrecoverable at common law. It is held that a contractual party may only recover damages for an actual loss or liquidated losses.
However, if you wish to contend that your charges were not penalties, please demonstrate this by supplying me with a full breakdown of the costs to which you were been put by as a result of my breaches of contract, details of all actions required to make up these costs and an explanation of how you arrived at the sums charged.

In the Scottish case of Castaneda and Others v. Clydebank Engineering and Shipbuilding Co., Ltd. (1904) 12 SLT 498 the House of Lords held that a contractual party can only recover damages for actual or liquidated losses incurred from a breach of contract. This is also the position in English law: Dunlop Pneumatic Tyre Co Ltd v New Garage and Motor Co Ltd [1915] AC 79.

I have used an interest rate of xx% when calculating interest which is the approximate average rate as applied to my account during the above referenced period. I have applied this rate to my request as you have unlawfully applied penalty charges that you had no right to, which therefore amounts to your unauthorised borrowing of my money. Further, you denied me the opportunity to invest funds unlawfully taken from my account, denied me the economic benefit of these funds in the first instance, and have been unjustly enriched having been able to re-lend, and profit from money that rightfully belonged to me, at commercial rates.

Please return the total amount of £xxxx within 14 days of the date of this letter.

Yours sincerely

[Shira]

Re: Barts v TFC

Hi Bud
Thank you very much for the draft letter. Can I use the statutory interest spreadsheet?

I am having problems downloading the attachments due to not being able to resize my file

Thanks Shira