VT direct debit

[SPG]

Thanks @R0b.. I'll put a letter together and send it across for review before I send it to them.. Much appreciated..

[SPG]

Hi R0b can you give me your thoughts on the following as a response to RCI...

I refer to your email dated 2nd February 2019 and your letter dated 8th March 2019 regarding your request to pay £1088.65p in respect of agreement number xxxxxxxxxx.. I wrote to you on 27th January 2019 pointing out that under the Consumer Credit Act 1974 (CCA) once I reach the 50% point of my agreement with you I am entitled in law to voluntary terminate the agreement.

Within the two pieces of correspondence as detailed above you have not addressed how the charges are applicable in light of the CCA and my right to voluntary terminate the agreement. You have merely stated the charges are enforceable. I would appreciate a response of how in law you believe this charge is enforceable, given the case law detailed within my letter dated 27th January 2019.

In respect of the charge for damage to the vehicle which you calculate as £425 I am prepared to make a contribution of £212.50p. Please note this contribution is without admission of guilt and in full and final settlement of any claims by RCI in respect of the agreement.

In your letter dated 8th March 2019 you state that if you have not heard from me or I have not paid the balance within 14 days of your letter you will pass this agreement to a Debt Collection Agent. I wish to point out that I object to RCI passing my personal details to your nominated debt collection agency and any repeated persistence from the debt collection agency or RCI constitutes harassment, of which I reserve the right to pursue legal action.

I look forward to your response to the points raised.

Regards

[SPG]

....

[SPG]

Hi R0b I sent a letter to RCI as outlined above. They responded last week with the following;

"Please be advised the CCA 1974, Section 99 (2) states termination of an agreement does not affect any liability under the agreement which has accrued before termination of the agreement.

They further state this would support the mileage charges are fair, as they are included within the terms and conditions prior to the termination of the agreement.

Therefore the charge of £663 for excess mileage stands.

They state that they sold the vehicle at a lost of £650...... but they are willing to accept my offer to pay half of the damage as a goodwill gesture.

They say the amount now payable is £876....

They say the terms and conditions I signed at the beginning of the contract states that my information will be disclosed to debt recovery agents if necessary.

They then state I have 14 days to pay the balance.

I do not want or intend to pay the mileage charges as they are missing the point that once I VT I have no further liability as per the 50% rule. Clearly, they are playing on the words of the CCA..

What next??

[R0b]

It's the typical response you'd get, Mercedes tried the same arguments at court and lost.

Just because they sold the vehicle at a loss doesn't mean that the car was in an unreasonable condition. Finance companies sell the car at auction which is likely to fetch the least amount, than trying to sell it at a dealership or in private. There are also variable factors on the day of auction that could have been the reason behind the vehicle selling at the required price e.g. lack of interest, low turnout etc.

Next steps is to see them in court, if they try their luck though I've yet to see RCI try, or f course if you don't want to go to court then you need to settle up.

There's a wad of information on here from various posters who are ahead of you and it might be worthwhile doing some research on it.

[SPG]

Cheers R0b So I will pay the £212 figure for the damage and tell them I am not paying the excess mileage fee?? and then see their response to that..

[SPG]

R0b I hadn’t heard anything from RCI or QDR since 2019 until I got a letter in early June 2021. They are offering me a 50% reduction on what they say I owe. The offer is conditional on my paying within a month otherwise they will withdraw it and I will owe the full amount. They then go on to explain they may seek legal proceedings and highlight all the negative effects that could have on my credit score. What’s your best advice at this stage. I had kind of forgotten about it and thought they’d given up as last contact a couple of years ago.

[R0b]

Did you pay for the damage they were asking for, and the only outstanding issue is the excess mileage?

[SPG]

R0b thanks for the reply. I didn’t pay anything back then. Cannot recall exactly how that came about. They are asking for £500 plus which is half of the total amount.