Voluntary Termination - Peugeot Finance (PCP)

[nlang94]

Hi there

I am about to start the process of Voluntary Terminating my Peugeot 108.

I have a copy of the original agreement signed by myself, however I have a problem with the finance company.

1. Excess Milage - 19,000 miles on the clock, contracted at 30,000. I am 18 months in to a 37 month agreement so pro rata about 4,000 miles over, charged at 5p a mile (£200).

2. Total figure left to pay. Finance company stating over the phone £2,600 (not including milage), yet I worked it out as below.

3. Collection charges. There is nothing regarding collection charges in the event of a voluntary termination on the agreement. They want £75, I got the car 3.5 miles away. Am I wrong to say that I am willing to travel the distance to which I bought the vehicle originally from, otherwise they would be liable for either the costs of me travelling further and getting back home or instead collecting the vehicle at no charge.

Agreement states
----------------------
Termination: Your Rights.
You have a right to end this agreement. To do so, you should write to the person you make your payments to. You will then be entitled to return of the goods and to half of the total amount payable under this agreement, that is £5,850.74. If you have already paid at least this amount plus any overdue instalments and have taken reasonable care of the goods, you will not have to pay any more.

Therefore what they have stated in the agreement regarding the excess milage would not be applicable? Which they are claiming they can enforce.

I have made 18 payments to date of £299.75, minus £89.64 each month for JAF (Just add fuel) = £210.11 (£3781.98). So I should owe £2068.76.

It looks like they are trying to get me for insurance products (cosmetics etc) that were incorporated into the HP.

Where do I stand on this as it clearly states that if I am to VT I am only liable for half the amount already mentioned.

[R0b]

Hello

If you've not already read it, I suggest you read this link: http://legalbeagles.info/forums/foru...th-black-horse

Also can I ask why you have deduced the JAF costs each month?

In relation to the value added products I would suggest you read the link below which I give a fairly detailed explanation as to why I think they cannot charge you for the insurance products (skip to post #12 if you want the explanation but suggest you read the whole thread anyway).

http://legalbeagles.info/forums/foru...th-black-horse

[nlang94]

Hi Rob,

Thanks for the links.

I have deducted the costs for the JAF because it includes car insurance (£77) and the other amount (£12.64) which covers servicing etc. That is a separate cost to the HP I believe and can be cancelled at any time without penalty.

The JAF (£89.64) is under the title "Schedule of Services", whereas the Vehicle and insurance products (cosmetics etc) are under the title "HP Agreement" (£210.11).

[nlang94]

So here is my letter to the finance company. Does this seem reasonable?


Dear Sir / Madam,

TERMINATION OF AGREEMENT PURSUANT TO S.99
OF THE CONSUMER CREDIT ACT 1974


DATE: 30/06/2018

Agreement number: xxxxxxxxx
Registration: xxxxxxxxx

I am writing to notify you that I wish to invoke my statutory right under section 99 of the Consumer Credit Act 1974 and hereby give you notice that the agreement is terminated effective immediately from the date of this letter. Please confirm by return acknowledgement of this letter and to make arrangements for collection of the vehicle.

The condition of the car is noted as being in a reasonable condition for its age and photographic evidence has been taken in the event of any future dispute as to the condition of the vehicle.

You will be aware that the Consumer Credit Act limits my liability to half of the total amount payable under the agreement but excludes any sum payable as a penalty, compensation or damages for a breach of the terms of the agreement. Such terms imposed are inconsistent with my rights under the Act and are therefore deemed void and unenforceable.

Under Termination: Your Rights in the original agreement, it states the following: “You have the right to end this agreement. To do so, you should write to the person you make your payments to. You will then be entitled to the return of the goods and to half the total amount payable under this agreement, that is £5850.74. If you have already paid this amount plus any overdue instalments and have taken reasonable care of the goods, you will not have to pay any more.”

I have made a total of 18 payments at £299.75, excluding the JAF element (£89.64pm) which is not a part of the HP agreement and is instead listed as ‘Schedule of Services’ and is cancellable at any time without penalty. This totals at £3781.98. My outstanding liability is £2068.76 using the figure stated in the agreement.

The vehicle is now available for collection and I would be grateful if you could contact me on xxxxxxxxxx to arrange a suitable time within the next 14 days. At the same time, I will also make payment for the outstanding liability (£2068.76).

I will continue to keep the JAF element running for the next 14 days or to when the vehicle is collected, whichever comes soonest, to ensure the car is kept roadworthy, insured and taxed. Failure to collect the car within this period will result in the JAF element being cancelled, along with the vehicle tax. I will then notify the DVLA that you are now the keeper of the vehicle and that you have left it outside my property uninsured and untaxed.

Should you attempt to take any further funds other than what I am liable for which is stated in this letter, either from myself or the guarantor. You will be found in breach of the Consumer Credit Act and I shall take legal action against you to recover the funds. You shall also be liable for any expenses and damages that are occurred as part of recovering the funds.

Yours faithfully,

xxxxxxxxxxxx

[Shoobidi]

Hi,

I was wondering if you went ahead with the VT and what the responses were and did they make you pay for anything further.

I am looking to VT my JAF 108, its been 25 Months; based on my calculations I should hit 50% by the end of feb.

I have called them a few times and they can't pass me over to the "VT" team, and keep trying to "scare" me; so I can't get them to confirm when I hit the 50% marker.

They mention charges for collection or I have to drop it off to an auction house.

Thank you in advance

Sham

[matthj]

Hi both. Please can you provide me with information of how it went if you went ahead with the VT? I have a Peugeot 208 on HP Finance & i'm looking to VT soon but want as much info in advance to prepare me as I understand PSA Finance will not be helpful! Thanks. Matt