Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Hi all

yes as wobats says, with regards to signing a condition report, as said only if you are absolutely happy with it, also a carbon copy is best. wouldn't want them adding things after the event, if no carbon take a picture of their copy with your phone, they wont like it of course.

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Thanks wombat,

We are over the 50% threshold and I've read most of the thread so will ensure I have all photos required and will sign nothing. Should I refuse to sign the condition report? I thought I had read earlier that this was the only thing to sign

You can sign it if you're happy with it. If you do, make sure you get a copy. If you're unhappy with it, don't sign it.

Given the tight timescale, make sure you send guaranteed next day delivery, and phone your bank to stop the payment, as it may already be in the system. If not, it must be very close to it.

[Locvez]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Thanks wombat,

We are over the 50% threshold and I've read most of the thread so will ensure I have all photos required and will sign nothing. Should I refuse to sign the condition report? I thought I had read earlier that this was the only thing to sign

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

If you are up to date with payments and have paid over the amount stated on the agreement, then you can cancel the payment and terminate the agreement with effect of September 10th.

If you are under the total you have to pay and are doing a VT, then you might as well make the payment as you'll have less left to pay up to the 'magic figure'.

Make sure you get photos of the car inside and out, with a copy of that days paper to prove the date. DO NOT sign anything, and ensure you get copies of anything they are wanting you to sign. The condition report is always the sticking point, so don't sign anything - rely on photographic evidence with close ups of any damage.

[Locvez]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Hey all,

I am planning on VTing my car and have got a letter ready to post special delivery tomorrow, but the next payment is due on the 12th.

should I make the payment or cancel my DD tomorrow?

thanks,

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

What they expect and what they get are two different things. If you believe the vehicle was in a condition commensurate with its age, I'd stick to your guns and pay nothing further. The agreement is terminated. They are trying to claim money off you for work not carried out - is that not fraud?

The new owner will have to pay for the work to be done, so why should you pay too?

They've confirmed there is no legislation and guidelines are just that, guidelines. They are NOT law. This is always the tricky bit of a VT - stick to your guns. They won't like it, but there's not over much they can d about it either.

[simon.treacher]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Quick update, the vehicle has been sold with no repairs done as they are not required to carry out the repairs just claim back the costings for the vehicle being returned in unsatisfactory condition. Any further advice folks? Did get quite heated on the phone when I asked the guy for invoiced repairs carried out and for legislative information as to expected condition of 8 1/2 year old cars - apparently there are industry guidelines only. He was however quite insistent that I owe the money and they are expecting to be paid in full!

[simon.treacher]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Ok, thanks Wombat. That certainly makes me feel a bit easier about things, at work now and over the weekend so will be on to it after the Bank Holiday! And stick to my guns......be sure to do that!

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

There is nothing to be worried about. The condition report was signed by you and agreed, they cannot claim further damage - one can only assume the rest was caused by them.

As for the damage you signed for I would argue it is fair wear and tear for a car of that age so you should owe nothing.

Ask for a copy of the invoice for the work (bet they can't produce one!) as usually the cars are taken straight to auction to be sold.

This part of a VT is always a little bit of a sticking point and it is really up to you to stick to your guns and say it was fair wear and tear, so nothing is owed. All they are trying to do is maximise the money they can get from you.

Certainly asking for a copy of the invoice giving a detailed breakdown of the repairs is a good starting point, along with saying that the condition report showed only fair wear and tear and thus you owe nothing, unless they can produce legislation showing otherwise.

[simon.treacher]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Hello All

I recently returned my vehicle to Peugeot Financial Services after paying more than 50% of my original purchase figure.

The vehicle was collected by an employee of G3 remarketing.

The initial inspection before he drove the car away was 7 light scratches (very light!!), x3 scratches (2 bumper, 1 one near side passenger door) and x2 minor chips (one bonnet, 1 rear bumper). All scratches, in my opinion, could be polished out. Neither chips had exposed the underlayer of paint.

I thought, ok that's that done with and went on to purchase my next vehicle. However today I've received a Bill for £1691 worth of repairs to the car from RMS Receivables!!!! Damage to the sills neither I nor the inspector had noted, x6 Poor Previous Paint (Respray Required) & a dent with paint damage!!! The car was in good condition and at over 8 years old I'm utterly staggered that they have billed me for the best part of £2000! The car is only worth approx £3000!!!!!

Neither myself nor my wife are in a position to Pay in Full as their letter puts it and if I'm honest I don't think we owe for said repairs under Fair Wear & Tear! The car was well loved and had a good few years left in it!

Sorry to ramble, advice would be great - I'm worried sick!

[nikista1]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

The intention of this piece is to clarify the situation regarding VT’s. There is much misinformation given from various sources, some of it well-meaning and some perpetuated by dealers who fully know that the provisions give the debtor an effective tool to mitigate losses on an unwise purchase.

It is true to say that this particular piece of legislation survived the recent consumer credit reforms by the skin of its teeth, there were many lobbying for it to be rescinded.

First some basic facts:

1) Contrary to popular belief, the debtor is fully entitled to terminate the agreement at any time. It does not matter if he is in arrears or if he has paid half of the total amount on the contract.

2) The debtor does not have to fill in a form provided by the creditor in order to voluntary terminate the vehicle. It is quite acceptable for the debtor to just write a letter giving the creditor reasonable notice. (We will include some template letters later in the thread for you to use.)

3) The creditor cannot charge a fee of any kind for this; he is compelled to provide this service by statute.

4) You do not have to make any special arrangement to return the car; they must arrange either a local drop off point, or free collection.

5) If no arrangements can be made for return of the vehicle, it must be made clear that a charge will be made against them to cover storage.

6) The vehicle does not have to be in pristine condition when you return it. They cannot refuse the Termntation whatever the condition. All that is required by statute is that the goods were” reasonably well” looked after.

7) It is true that they are entitled to charge for any work needed to return the vehicle to a reasonable standard. To this end they may ask you to witness a condition report on termination.
You do not have to attend anything although it may be in your interests to do so. Sometimes these are carried out by an independent agency such as the RAC other times it is one of the dealer’s employees. At the end of the inspection they will ask you to sign the report. Do not sign unless you totally agree with what is on it and it is properly particularised. “A slight indentation on rear off side”, could land you with a bill for a new wing.

8) To repeat you do not have to sign anything, they are compelled by statute to accept the car back the agreement is terminated.

Peter

Hi Peter,

I am after me advice and you seem very knowledgeable in this area. I have a HP agreement with a company, whereby I am one month in arrears with at present. Total being around £375. I sent the VT letter detailed below, as its my understanding from reading these threads that I can do this at any point and is my right, arrears or not. I have only had the car since March this year but due to my business now going under I can no longer afford to be making these payments.

I run the finance company, to see firstly if received the email last night. The lady was very cagey and skirted round the issue, but just kept saying I have to pay the arrears before I can VT. I advised I will be taking advice on this matter before I discussed any further with her.

Could you please advise me on the best route to proceed with this?

Thanks

Nikista1

[mwilliams]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Hi,

I've been reading up on here but registered today after Manheim auctions refused to take our car. It was for a rip in the tyre which made it unroadworthy so thats fair enough, we hadn't noticed this rip.
So the car has had a new tyre put on, and we also have to pay the fine for them not being able to take the car.

My question is, what is regarded as fair wear and tear? they also highlighted a small dint on the rear passenger door which they said they would charge for, how enforcable is this charge? can i refuse to pay it? as we hadnt even noticed the dint till the inspection guy pointed it out.

We now have to wait another week for them to collect the car again.
we only have tax till the end of the month and they said it is a £250 charge to take the car without tax? surely this isnt right?
Its a 2008 Nissan Qashqai, 75000 miles, full service history and MOT till september.

Pics of the dint






Thanks for any help

[JENNAB123]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Hi
I have VT'd my car with Peugot, after much debate of them wanting me to sign the VT documents they finally gave in and contacted the people to collect the car.
The day my car got collected they did as inspection to which i was happy with and signed.
Since then, RMS receivables have sent me an invoice for damages that were not on my inspection report and also for excess mileage. I phoned them instantly stating the damages were not on my inspection report and they said they would write off the damages.

I told them also about the excess milage, saying my contract stateds the 'once 50% of the balance as been paid, and reasonable care as ben taken of the goods, then there is nothing further pay', they argued saying it was an end of contract bill.

Can they charge this? my mileage allowance in my contract is 6000 per year although I thought it was 12000 as that is what i wanted, but they put it in the small print.... silly me.

Jenna

[Henry19]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

Any one?

[Henry19]

Re: Voluntary Termination of a Hire purchase or conditional loan under the CCA 1974

The total amount is for £24,882.04

I paid a deposit of £444 and my first payment was for £1020 and I have since been paying £340 per month for the last 4 months.