VT with VWFS

[Statler]

Hello all
I'm planning to VT our Audi in December and have been reading around the forum gaining a lot of info on what I should expect to happen, so first off, thank you.

The car is 78% paid after 42 months and is under mileage.
It has one stone chip dent on the bonnet that was touched up, but I'm fully expecting Audi to come looking for a repair payment on it.

I had the car CAP appraised by the dealer we're buying the new car off (not Audi) and it came back as Clean with no required repair, so they were happy to accept it with the dent on the bonnet and offered us top book value. Unfortunately that wasn't enough to clear the finance hence the VT.

I rang VWFS and was emailed their VT pack, which contained a form in the email and an attachment with the letter and their terms and conditions, including charges for any damages noted by the BCA rep who will be collecting the car. This was news to me.

Obviously I'll not be responding to that or signing any paperwork on handing the car back.

My question arises around the VT Terms and Conditions they sent, as I suspect they'll try to get money out of me for the bonnet dent.

My lease agreement has two clauses relating to the return condition, the first Clause 3 says that i must take reasonable care of the car, which i have.
The second, Clause 12 says that i must take good care of the car, which i have.

Nowhere in the early termination part of the agreement does it mention that I have to adhere to any further terms and conditions of return, it doesn't mention that they may charge for any damage they feel needs repaired or that they will be using the BCA assessment for condition.

As none of this was written into the original contract/Finance Agreement can they actually expect me to agree to anything they come back with after they've inspected the car?

[stannie203]

Good question. VT-ing an Audi at the moment and I'm pretty sure the contract just says 'reasonable care'. Also nowhere does it say anything as mentioned in your penultimate paragraph "Nowhere in the early termination part of the agreement does it mention that I have to adhere to any further terms and conditions of return, it doesn't mention that they may charge for any damage they feel needs repaired or that they will be using the BCA assessment for condition."

So yeah, I'd be keen to know an answer to this question too!

[Statler]

Nobody seems interested in answering it.

In my mind it adds an additional clause to the 'contract' which wasn't disclosed at the time of signing.

Check your contract, because on the first page of mine it states that pages 1-3 are "legally binding". The bottom of page three takes me to the the first paragraph of Clause 12.1.

There are 5 pages in the contract... so does that mean the rest of the clauses don't count?...

[R0b]

It's not that nobody seems interested in answering the question, it's that the question has been answer tens if not hundreds of times on this forum in more ways than one.

Forget the contractual clauses on condition of the car when you VT, the only one you should be interested in is Section 100(4) of the CCA.

[Statler]

It's not that nobody seems interested in answering the question, it's that the question has been answer tens if not hundreds of times on this forum in more ways than one.

Forget the contractual clauses on condition of the car when you VT, the only one you should be interested in is Section 100(4) of the CCA.

Thanks Rob.

[Bane]

Depending on how well your car is. I.e condition, damage, mileage, it will take that long , as a lot of back and forth.

For example, i VT’d and it was dealt within a WEEK! then again it was under mileage and just under 2 years. I valeted and gave it back.

chapter closed.

It would be nice of you to keep people updated, as I’m sure there are many people who are or will deal with the same financial services you are dealing with.

Bane

[Statler]

Happy to update when I start the process.

Today I removed the personal plate. Once the V5 comes through at the end of the week then I'm all set to VT on Friday 13th December.

[Bane]

Good. Well done keep us updated*

[Statler]

Update:

I sent the VT letter, which is dated 13th December 2019, via email at 23:50 last night and have a confirmation of receipt email in reply.

I used RoB's template and advised Audi Finance that I would insure the car until it is collected or until Midday on 2nd January when I need to swap the insurance to our new vehicle.

I'll post a paper copy at lunchtime today.

Our next payment is due on Tuesday 17th December, I plan to cancel the DD over the weekend.

[Statler]

Reply from Audi Finance accepting the VT and advising that the contract has been terminated.

I've posted the letter (signed for) anyway and cancelled the DD as well.

[Statler]

I received a text from BCA this morning and have booked the inspection/collection. The earliest appointment I could get is 13th January 2020.

So, first issue arises. I need to move the insurance from this vehicle on 2nd January to my new vehicle. I specified this on my termination letter, which was accepted by VWFS.

So what are my options here?

1. Do I write to them again and let them know that their property won't be insured beyond the 2nd January, reminding them that this is within their specified collection time at the time I enquired about VT.
2. Do I take out a separate, temporary insurance policy on the vehicle? (which will cost me more money)
3. Can I put it in my garage and let it sit uninsured, with them being aware of such?

Ta
S

[TracyCK]

From what I understand, it is now their property and their responsibility. I would push them for an earlier collection as it doesn't suit you (or them) to have an insured vehicle in your way.

[Statler]

So, I sent an email to Audi finance advising them that they would need to insure the vehicle from 2nd January 2020, this is their reply:

"Good morning,

Thank you for contacting Audi Financial Services.

Following your previous email, as per the terms and conditions of your agreement the vehicle should remain taxed, insured and with a valid MOT up until the day of collection, as you do remain fully liable for the vehicle up until this point."

I would have thought that as the Agreement has been terminated, my obligations under it are now complete and any liability is theirs?

[R0b]

You might need to amend the bits in square brackets below.

Dear [Audi],

With respect, the terms of the agreement are no longer applicable because I exercised my voluntary termination right. I would refer you to section 100 (liability of debtor on termination of hire purchase agreement) of the Consumer Credit Act which says I am liable only for one half of the total price payable immediately before termination took place. Also, section 173 (contracting out forbidden) says that any contractual term which imposes an additional liability, contrary to the debtor's rights and liabilities under the Act, shall be void and of no legal effect.

It is Audi's responsibility to ensure that there is sufficient insurance and tax coverage following termination of the agreement. However, I have out of courtesy, maintained insurance [and tax] coverage on the vehicle and will continue to do so until 2nd January for reasons already mentioned. Whether you choose to do the same from 2nd January 2020 is entirely your prerogative but if you do not, then I will not accept any liability you suffer as a result of your own negligence. I would suggest you get in touch with your agent and arrange for the car to be collected before this date, and let me know if this is the case. Otherwise, I will assume collection is going to take place on 13th January as agreed.

[Statler]

Hi RoB
Thanks for the above, let's see if they bite.

Appreciate the quick response
S