VT PCP Northridge Finance

[4ndy]

Hello, can I please get a bit of advice?

R0b*
I sent Northridge my VT letter on the 1st of March per the template and guidance elsewhere on the forum. I then received a phone call on the 2nd of March asking me to go through a checklist over the phone. Against my better judgement, I answered a few questions about the MOT and Service before realising that they might be seeking liability. I then refused to answer any more questions. Since then I have been advised by three different advisers that they won't 'accept' my termination unless I give them the information, most importantly, the milage so they can determine any excess milage. I am sticking to my guns but they are not budging, claiming that my agreement is still active. I should also mentioned that I have already transferred the V5C over to them via DVLA. What do you think I should (of shouldn't) do next?

Thank you.*

[R0b]

Hi, the guidance covers this situation in the FAQ section about the creditor refusing to accept your termination letter.

Short answer is they can't refuse your termination without being in fundamental breach of contract. Whether you want to go down that route or argue the toss with low level employees is up to you.

I suggest you keep all correspondence in writing moving forward, that's the number one rule otherwise you may find yourself in the position of having no evidence to back up what you are saying.

[4ndy]

R0b*
Thank you for your help. I haven't been able to make any further progress. I went through Northridge's complaint process which took me nowhere and I've since made a complaint to the FOS. Northridge sent me a one line reply to my 2nd letter saying they won't do anything until I send them the mileage. My next payment will be due shortly and I'm really at a loss as to what to do next. I've drafted my final letter per the guide (saying I will sell the goods) but based on what I've seen so far, I'm not going to expect that to work either.

S99 Letter*
2nd Letter
FOS complaint
Northridge complaint response

*

[R0b]

Have they said anywhere in writing that you have not accepted your termination unless you provide the reading? I can't see any letters that says that.

I think there needs to be clarity from Northridge that either they are not accepting termination unless an odometer reading is given or that they have accepted termination but are not collecting the car unless a reading is given.

S.99 does not say you have to give an odometer reading to cancel the agreement so I think it's crucial to know their position as that can affect what rights you may have.

[4ndy]

These are the only relevant parts in the agreement. R0b, please correct me if I'm mistaken, but from my *limited* understanding, either party can unilaterally terminate the agreement. In other words, it shouldn't matter what is written in the agreement and they don't need to 'accept my termination'. Sorry, I am not trying to be patronising.

They repeatedly mentioned the reason they are asking for the reading is so they can check if I have exceeded the pro-rata milage and bill me accordingly. They also said that they won't proceed with the VT unless I comply with their request. To answer your question, they will not accept my termination unless I give them a reading.

I also found a near identical VT issue from last summer. I've been using this as my guide.

[4ndy]

I haven’t heard anything further from Northridge in almost 2 months. They haven't chased me for any missed payments either. The status at the moment:

VT effective 2nd of March Insurance cancelled 2nd March
Tax cancelled 2nd of March
FOS complaint acknowledged but not processed

Any thoughts on next steps? Thank you in advance.

[4ndy]

R0b Can I please ask you for your advice?

[R0b]

Hi 4ndy,

I'm not sure what I can add, you've issued a complaint to the FOS so it will be a case of wait and see. Northridge shouldn't be chasing you for payments anyway because there is an active complaint with the FOS, it's in the rules.

[4ndy]

Hi 4ndy,

I'm not sure what I can add, you've issued a complaint to the FOS so it will be a case of wait and see. Northridge shouldn't be chasing you for payments anyway because there is an active complaint with the FOS, it's in the rules.

R0b Thanks for the advice. They've now informed credit agencies of alleged missed payments. I've heard nothing from neither Northridge nor the FOS...

[R0b]

Then you need to chase it up with the FOS for starters and find out where they are with your case. They are overloaded so don't expect a verdict anytime soon.

Just so I'm clear, are you still at the stage that they have refused your VT termination and you now have missed payments, what are these missed payments, the monthly instalments?

[4ndy]

Then you need to chase it up with the FOS for starters and find out where they are with your case. They are overloaded so don't expect a verdict anytime soon.

Just so I'm clear, are you still at the stage that they have refused your VT termination and you now have missed payments, what are these missed payments, the monthly instalments?

Sorry R0b*I only just got the notification that you replied! They 'refuse to accept' my unilateral termination unless I provide the mileage. They are now claiming I am in arrears as the agreement is still 'live' so they are expecting the monthly instalments. The car is literally gathering dust on my drive and has been doing so for the past 15 weeks. Here is the latest letter from them and my reply.*

[R0b]

It still astounds me that lenders like Northridge still can't grasp the fact that Acts of Parliament reign supreme. Not only that, the agremeent would state clear on the front, [Hire Purchase/Conditional Sale Agreement subject to the Consumer Credit Act 1974] ... subject to*you can't get any clearer than that.*Ideally your response should have also referred to section 173(1) which says:

A term contained in a regulated agreement or linked transaction, or in any other agreement relating to an actual or prospective regulated agreement or linked transaction, is void if, and to the extent that, it is inconsistent with a provision for the protection of the debtor or hirer or his relative or any surety contained in this Act or in any regulation made under this Act.

That clause they refer to in the agreement implies that if you want to terminate you can only do so if you give an odometer reading and until you do so, then they consider the agreement to continue. What absolute b****cks and as you've made clear s.99(1) is an unqualified statement that you have the right to terminate at any time, not subject to conditions.*

Now it is a game of will and who is prepared to go all in. Are you intent on going the FOS route, because if you are then you just stick around and wait forever and a day for them to get back to you. Other options are:

1. Claim repudiatory breach and automatically deem the contract as terminated, then a question of whether you want to issue a claim for damages.

2. Together with claiming repudiatory breach you could withdraw from the FOS, serve them with notice of intention to sell the car in accordance with the Torts (Interference with Goods Act) 1977 and if they fail within 14 days to collect, put the thing on eBay to sell making sure the advert clearly says the car is being sold pursuant to the above act.

3. If neither option sounds good to you, stick to your claim that you terminated on the date given and maintain your complaint with the FOS.

Both of these options are mentioned in the VT Guide -*A guide to voluntary termination: Your rights*and if I recall there is a repudiatory breach letter template in there too.*

The choice is yours, although it may already be made for you at some point in the future as Northridge may very well mark your credit file with a late payment or default in which case you either sue them for breach of data protection or play ping pong correspondence and wait for the FOS to make a decision. Something to be aware of.

*

[4ndy]

It still astounds me that lenders like Northridge still can't grasp the fact that Acts of Parliament reign supreme. Not only that, the agremeent would state clear on the front, [Hire Purchase/Conditional Sale Agreement subject to the Consumer Credit Act 1974] ... subject toyou can't get any clearer than that.Ideally your response should have also referred to section 173(1) which says:



That clause they refer to in the agreement implies that if you want to terminate you can only do so if you give an odometer reading and until you do so, then they consider the agreement to continue. What absolute b****cks and as you've made clear s.99(1) is an unqualified statement that you have the right to terminate at any time, not subject to conditions.

Now it is a game of will and who is prepared to go all in. Are you intent on going the FOS route, because if you are then you just stick around and wait forever and a day for them to get back to you. Other options are:

1. Claim repudiatory breach and automatically deem the contract as terminated, then a question of whether you want to issue a claim for damages.

2. Together with claiming repudiatory breach you could withdraw from the FOS, serve them with notice of intention to sell the car in accordance with the Torts (Interference with Goods Act) 1977 and if they fail within 14 days to collect, put the thing on eBay to sell making sure the advert clearly says the car is being sold pursuant to the above act.

3. If neither option sounds good to you, stick to your claim that you terminated on the date given and maintain your complaint with the FOS.

Both of these options are mentioned in the VT Guide -A guide to voluntary termination: Your rightsand if I recall there is a repudiatory breach letter template in there too.

The choice is yours, although it may already be made for you at some point in the future as Northridge may very well mark your credit file with a late payment or default in which case you either sue them for breach of data protection or play ping pong correspondence and wait for the FOS to make a decision. Something to be aware of.

R0b*Thank you very much for all your help, I will give them 14 days to reply to my letter before*taking the next step and then I'll use the guide. I will post updates either way. As they have already added a missed payment on my credit record, as you said, my options are limited. I am considering the option of giving them notice of intention to sell the car to see what their next move would be.

I am also waiting for a SAR from them to see what that uncovers.

[R0b]

If they've already marked your credit file, then you might be better off arguing that you exercised your VT right. Repudiation of contract only occurs when you have give them notice and terminated on that basis, so the agreement would in theory continue to remain alive until that notice is given.

Because they have already marked your file, claiming the contract terminated before the late payment marker is probably the best way to seek damages for breach of data protection and have it removed. Nothing stopping you from selling the car in accordance with the Torts legislation.

[4ndy]

Almost a month later, I now have outstanding complaints with FOS - for refusing to collect vehicle, FCA - for unfair terms and conditions and ICO - for misusing my personal data.

I have also emailed Northridge's managing director who was most unhelpful with his expert reply narrowly avoiding any liability.

FOS are currently advising a 5 month delay on assigning caseworkers and a 90-day processing period to follow so that means I probably won't hear back from them until October, a whopping 7 months after VTing. Meanwhile Northridge continues to record missed payments with credit agencies and ignoring my correspondence. This is all while the car is gathering dust in front of my house.

Great!