VT with Ford Credit (Europe) - Pro-rata fees for usual monthly payments requested

[robsimm]

Hi there,

I VT'd on my Ford Kuga with Ford Credit (Europe) on 15/04/19 by using the Legal Beagle template on the website.

I sent this via e-mail (unsigned of course) and by recorded first class post. Ford Credit wrote back within 2 days saying they could not accept my e-mail and asked me to fill their paperwork as a 'template' letter. The letter mentioned "There may be further liabilities". I of course ignored this, knowing that Ford Credit had not yet received the physical letter.

The following week I received confirmation of VT and mentioned an agent would be in touch shortly to collect the vehicle. The vehicle was collected on 26th April.

Ford have stated in their letter that since I VT'd on the 14th (DD date is 1st of each month) that I had a liability of the pro-rata of the usual monthly payment and that £160+ was due (roughly 14 days of payments since my last DD). If not paid within 28 days of collection I would be passed to a debt collection firm.

I've read and re-read my contract with Ford Credit (regulated PCP) and can't find any mention of this liability, or in fact that I should pay it?

Is Ford Credit trying it on? They haven't produced an invoice, just a 'reminder' letter in the post today. I'm sure under the VT process that liability is only 50% of the total cost (as per the agreement) which I have paid more than anyway?

Thanks in advance,

Rob

[robsimm]

To be clear - the vehicle was handed back under the contracted mileage and the condition of the vehicle was 'excellent' according to the agent collecting the vehicle. I'm confused as to my rights / liabilities in respect to the pro-rata monthly DD they're claiming I'm liable for.

[R0b]

Have you paid more than 50% of the total price?

If so, you can point to the fact that Section 100(1) limits your liability to one half of the total price. Nowhere does it say that you are required to pay a pro-rata amount on if terminated after the payment date.

Also check your contract, I doubt there will be anything in there that says you paya pro-rata amount. If there isn't, use that as evidence too and ask them to point to the contract or the law that says you have to pay a pro-rated amount. If there is something in the contract, stick to the Section 100(1) argument.

Any chasing of the payment would constitute harassment as they have no lawful right to recover it.

[robsimm]

Thanks Rob. Yes - I have paid more than 50% of the total price.

I just got off the phone from them - and they're holding me to this part on the contract:

"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. They will then be entitled to the return of the goods and to half the total amount payable under this agreement, that is £XXXXX. 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 more."

The part in the wording they are stating and enforcing is, "overdue instalments". They are saying that because I VTd 15 days after my last instalment that they are claiming back 15 days of my payments as these are "overdue instalments". I queried how are these "overdue" and the said I pay not in advance, but in arrears each payment cycle? I.E., I took delivery of the vehicle, and started payments the following month.

Is this true? Or do I fall back on Section 100(1)?