Startline Finance

[Scot-lad]

Hello all,

Having used this forum to find out what it is exactly i have to do, and how i go about it,i thought i would register and post my story and experience in the hope it will help others. I'm based near Glasgow.

I have a 14 plate car through Startline Finance, I have recently been made redundant and can no longer afford the car at just over £300 pcm. i am currently 1 monthly payment (plus a bit extra) away from the 50% mark. I have spoken on the phone to them, and they have given me the figure in pounds and pence to make it to 50%. I agreed verbally to pay this, but requested that they send me an email as way of written confirmation, i was worried that if i pay this amount then they may try and ask for more at a later date. They have also since sent me paperwork to sign and return. I have not done this and have instead used the template from here to send to them.
Things should start to progress from Monday 16th April and i will keep the forum updated with progress.


A couple of questions i have, if Rob could answer for me please

1. I am not legally obliged to sign anything at all?
2. I do not need to return the vehicle to auction, and nor am i liable for 'recovery' costs?
3. I do not need to keep the vehicle Insured or taxed after the agreed collection date?

Am i correct in thinking this above??

What is a reasonable time to have the vehicle after the termination has been agreed? 7 days or 14 days?

I don't really want to loose my car, and if i'm honest i need it as my 5 year old son has been diagnosed with Epilepsy, however, i am now at the point that i just want it away, something less to worry about, if that makes sense?

Thank you

[ostell]

Rob will be along to expand but the only signature needed is on the letter telling them you are terminating the agreement. Their letter is not recommended as they will be attempting to get you to sign away your rights. Their is a VT template on the forum.
You are not liable for recovery costs
You need to keep the car "legal" for a reasonable time after VT. By reasonable a couple of weeks until they have collected it. The car is no longer yours, it is theirs and therefore they are responsible for tax and insurance.
When the car is collected take lots of photos inside and out to show how good the condition is. Include a copy of the latest paper in the photo.

[Scot-lad]

Thanks Ostell

[Scot-lad]

I shall return their own form blank

[R0b]

Startline can be a pain to deal with and just like many other finance companies, they seem to think that until the car is returned and sold at auction, you are liable to continue paying the monthly instalments. That is wrong. The basics of contract law is that upon termination of the agreement, your obligations to pay will be discharged (except for any rights accrued by the other side like missed payments). The Consumer Credit Act also backs this up under Section 100, limiting your liability to 50% of the total amount payable.

Undoubtedly I would expect them to try it on and ask for more money from you by way of instalments but I'm not entirely sure why you are worried about losing your car. You said that you called them up but in order to rely on the limited liability provisions under the CCA, you must put your notice in writing. Calling Startline to VT over the phone is not an acceptable method of terminating the agreement and if you do that then it may cause you a lot more problems in the longer run, particularly if you incorrectly terminate the agreement and then end up being liable for the whole amount under the agreement.

All the answers to your questions are in the below link.

http://legalbeagles.info/forums/foru...on-your-rights

[Scot-lad]

Hi Rob,

I initially spoke to them on the phone, only to ascertain the figure required to get to 50%. i was given the figure and agreed to pay this amount, only once i had the figure in writing ( was worried that after paying the amount they would then change the goalposts and try and demand more) I received email confirmation of the figure so now my intention is to call them up and pay the amount by debit card over the phone. I have modified to suit and printed off your template letter, which i will send to them today (16th)

They have sent me their VT letter, which i will not sign, should i keep this or return it to them blank?

Should i pay now or wait until they have received the termination letter?

[Scot-lad]

One other thing, with regard to the template, do i need to sign this with pen and normal written signature or is typing my name on it sufficient?

[R0b]

Doesn't have to be a wet signature, as signatures can also be electronic and simply putting your name at the end of the letter would constitute a signature. The CCA does not oblige you to send a signed notice, but a notice in writing.

You can always amend the template letter to say that you are enclosing a cheque for the difference to make up the 50%.

[Scot-lad]

Thanks Rob, I don’t have a cheque book anymore so I could only probably do either transfer or card payment. Should I wait until they receive the VT letter before paying it?

[Scot-lad]

Ok, so I’ve paid the amount to take it to 50% by card over the phone. I informed the girl I spoke to, that the paperwork has been returned to them. I didn’t say it wasn’t their paperwork. I will await what comes next, and keep the forum updated.

[Scot-lad]

Ok, so had a call today from Manheim auctions, asking when i was taking the car to Shotts Branch. I told the person on the phone that i wouldn't be doing so and the vehicle would need to be collected. Manheim said they would email startline to tell them.
I will assume since Manheim called me that they have received the template letter and accepted the VT

Updates when i get them

[Scot-lad]

Guys, just a quick one, I’m primed and ready with my responses for when they phone with regard to everything (hopefully) but just to clarify, with regard to delivering the vehicle to the auction company, it states in the original paperwork that I signed when getting the car, that I have to return the vehicle. What is my legal position on this again? Does this just come under the same bracket as, my legal liability has been removed under the VT and therefore irrespective of what the original paperwork states, I still don’t need to return it?

[R0b]

Ye, you only need to make the car available unless you agree to deliver it yourself. You alternatively say you will deliver the car if they agree to pay your reasonable costs of returning it.

Forcing you to return the car will be at an expense which causes additional liability beyond the 50% i.e. fuel costs, return transport costs etc.

[Scot-lad]

Thanks Rob, i have cleaned the car inside and out, took plenty of timestamp app pictures, and now have decided that it wont leave my driveway until collection. I will be sticking to my guns on this. Thanks for the help so far, i will keep posting updates til resolution

[Scot-lad]

Just a quick update, Startline are adamant they want £192 collection charge. I have quoted the advice from here and informed them that if they dont collect the vehicle i will either remove the tax and insurance and park it on the street, or i will allow it to remain in my driveway, subject to a daily storage charge. I have reiterated very clearly that i have no legal liability to the vehicle and they must remove it from my residential property. I’ll await their reply.