FCA Automotive VT - Additional charges for GAP insurance/Collection of the vehicle

[emmapar8899]

Hi All,

Sorry if this has been covered but I cant find any recent threads relating to such. I'd sent FCA Automotive notification of my intention to VT. I made it clear that I wished to terminate my contract as is my statutory right under section 99 of the Consumer Credit Act 1974 and that I'd already covered half of the overall payment to do so, as stated in my contract with them.

FCA Fiat have now come back to acknowledge my VT but have advised I am liable for Vatable added products? Namely GAP insurance. I see no mention of this in my contract, I was told I could VT once xxxx amount had been paid and I have more than exceeded that? Is this a valid charge or are they trying to get more money out of me?

They are also trying to charge for collection, which I understand I can challenge.

Excess Mileage is a grey area - is this still something I can challenge or have the laws changed recently?

Any help would be massively appreciated.

Thank you

[des8]

Regarding the GAP insurance: the premium has been paid upfront by the finance house.
Only the insured (you) can cancel the policy and receive any return of premium allowed.
Although probably rolled up into your overall contract it is a separate item.

Excess mileage can be challenged.
Here's a template: https://app.box.com/s/cfcq7j11buf1wtnr89hkqkxhfgelh020

Tagging R0b to make sure I'm not too far off!

[R0b]

It is possible to challenge the GAP insurance but for the ordinary consumer, it's far too complicated and technical a point and if you don't know what you are talking about, I would suggest against going down that route.

As Des has said, FCA has a clause in their agreement usually at the end to say that any GAP or other additional products are considered to be a separate contract to the hire purchase. You could write back to FCA and ask them to confirm how much the monthly instalments are so that you can make arrangements to set up a direct debit to maintain those repayments.

That said, like many other creditors, FCA will likely have taken your notice to terminate as also terminating the GAP insurance (which is wrong) and is likely to ask for the remaining amount upfront. In my view, that's a repudiatory breach and I've covered it elsewhere in other threads who have had the same issue with FCA. You'll find plenty of answers to this if you browse the Vehicle and Finance Issues sub-forum.

[emmapar8899]

des8 R0b Thank you both for your time. I have since noticed a thread that seems to detail the same issues as mine so will refer back to there for the information I required.

Thanks again