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

[Gary smith]

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

Help please I handed back my car Hp agreement today. Under voluntary termination over 50% paid the guy came today from rms receivables. He never looked at car gave me yellow strip from v5 not filled in. And left someone then rang from rms receivables 2hours later saying car has went into limp mode I told them the car was working fine when last used. they hung up on me . We're do I now stand as I am sure they will now bill me as I have heard bad reports about this company. Thank you in advance

[R0b]

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

Hi Gary why don't you wait and see what they say first? Make a note of what has happened and the date and time, then if it is raised we can deal with it then. The onus is on them to prove that the car is not in an unreasonable condition.

[Gary smith]

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

Thanks rob for your reply

[Andrew 93]

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

Hi, I'm currently in the process of VT my car, it's on a conditional sale agreement and I'm half way through payments, I contacted finance company last week via email and told them I wished to VT the contract, they have arranged for the car to be collected on Tuesday 23rd. The car has a few things which I feel they may pick up on, few scratches, a little ding in passenger side wheel arch, 2 alloy wheels are curbed, missing a towing eye cover, I feel they are going to try bill me for all these things, would it be better for me not to sign the damage report on Tuesday when the car is collected, the car is 7 years old and I feel other than the towing eye cover these defects are age related, where do I stand on this? Also when I purchased this car I was only given one key, will they try and charge me for that? Any advice would be greatly appreciated.

Thanks

[Ashley500]

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

Hi,

Just wondering if anyone has any experience of VT with FCA (Fiat) and if so are they good or bad?
I'm considering VT my current car but really don't want a bad experience!

Thanks,
Ashley

[pcopec]

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

I bought a used car in April 2014 with service history and 52k miles on the clock. Within 10k miles Timing chain went with cylinder 2 misfire and camshaft sensor errors. Luckily bought the 1yr warranty so Dace German Car centre had no choice but to complete the repair. Now 11k miles further on it appears the same issue has happened, this time out of warranty. I still owe£3400 of the £9700 car. It could cost a great deal to repair. Do I have any legal ground to stand on? Can I VT the car with the engine fault on? It is still drivable but not working 100%.

Thank you

[R0b]

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

I bought a used car in April 2014 with service history and 52k miles on the clock. Within 10k miles Timing chain went with cylinder 2 misfire and camshaft sensor errors. Luckily bought the 1yr warranty so Dace German Car centre had no choice but to complete the repair. Now 11k miles further on it appears the same issue has happened, this time out of warranty. I still owe£3400 of the £9700 car. It could cost a great deal to repair. Do I have any legal ground to stand on? Can I VT the car with the engine fault on? It is still drivable but not working 100%.

Thank you

Hello, This might sound like a consumer rights issue rather than just an issue relating to VT. Your answer to the VT question it might be considered unreasonable condition if the engine fault light is on as that could be deemed a serious issue. However as I said above, there could be other potential redress in relation to the repairing of the car. If you post a new thread and tag me using [MENTION=71570]R0b[/MENTION] and [MENTION=39710]des8[/MENTION] it will keep your problem separate to VT specific questions

[des8]

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

I bought a used car in April 2014 with service history and 52k miles on the clock. Within 10k miles Timing chain went with cylinder 2 misfire and camshaft sensor errors. Luckily bought the 1yr warranty so Dace German Car centre had no choice but to complete the repair. Now 11k miles further on it appears the same issue has happened, this time out of warranty. I still owe£3400 of the £9700 car. It could cost a great deal to repair. Do I have any legal ground to stand on? Can I VT the car with the engine fault on? It is still drivable but not working 100%.

Thank you

Can you please advise make and model and symptoms of fault as you see it?
If timing chain had broken completely the car would be going nowhere!
Possibly stretched and faulty tensioner not taking up the slack, or sensor failure

[madden2010]

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

Hi

I requested a VT from Northridge Finance they called me yesterday to confirm it was fine and will send me the paperwork in the post. I work for a group of car dealers and the place I have to take my car is the trade centre part of the group (2mins down the street) who I am assuming will also auction the car off.

Just checking the same still stands such as not signing the damage report and making sure they give me the log book back for me to send off?

Cheers!

[R0b]

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

Hello,

Nothing changes and would advise signing any of their documents. You are correct to make sure you send the V5C off to the DVLA, or take a photo of the information and you can do it online yourself at https://www.gov.uk/sold-bought-vehicle

[madden2010]

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

Hello,

Nothing changes and would advise signing any of their documents. You are correct to make sure you send the V5C off to the DVLA, or take a photo of the information and you can do it online yourself at https://www.gov.uk/sold-bought-vehicle

Thanks Rob

Received a letter from Northridge Finance today, it also came with a checklist. The main body of the letter states...

"....a full condition of your vehicle will be carried on your vehicle to the BVRLA fair wear and tear standard. If there is damage outside this standard you will be liable to pay the specified amount with immediate effect or within the next 10 working days. If you choose not to make payment for damages your account may remain live until this damage claim is paid to Northridge Finance, this is defined within the T&C's of your agreeement - "You must keep the goods in good repair and condition""

The checklist is asking if there is mechanical faults, bodywork intact and if the keys & logbook are there. It also states "If it later transpires that any of the above checklist items has been incorrectly advised, I will remain liable for the cost incurred by the finance company in remedying"

It asks me to sign it and return to the finance company, question is do I do that??

[R0b]

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

If you want to potentially waive your limited liability under the CCA and potentially cause further headache, then by all means go ahead and sign it. In my opinion I would strongly advise against signing anything as you are not legally obliged to sign anything other than give notice to terminate. The wording you have supplied indicates a representation that what you say is correct, if it is found out to be incorrect you could be liable for misrepresentation.

[malnik]

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

Started the VT process with Fiat today, used the template on this forum, ive ignored the letter FCA sent me wanting me to sign accepting costs.

Lets see what happens, I shall keep this updated.

[xs2man]

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

OK. So my car was picked up on Tuesday there. Everything went well. Car was one of the best condition motors the boy had seen. He did pick up some dodgy wheel repairs (virtually unnoticeable), but since it was BMW who done them, they can jump for that, lol.

Anyway, so they sent me out an invoice for excess mileage, as expected. Now obviously I am going to fight it, and will be sending this letter:

I am writing further to your letter dated 01/09/2016.

Please note that liability in relation to the alleged outstanding balance for excess mileage is denied.

You have suggested in your letter that I am liable to pay excess mileage under the terms of the agreement, however this is not correct. Section 100(1) confirms that liability is restricted to one half of the total price payable. The CCA defines ‘total price’ as “total sum payable by the debtor under a hire-purchase agreement or a conditional sale agreement, including any sum payable on the exercise of an option to purchase, but excluding any sum payable as a penalty or as compensation or damages for a breach of the agreement” (emphasis added).

As you have already alluded to, the excess mileage is a contractual term of the agreement and therefore cannot be included as an amount which is owed. This position is further clarified under section 173 of the Act in that any contractual term which is inconsistent with any rights under the CCA and imposes additional liability, whether direct or indirect, shall be void and unenforceable.

Nonetheless, the excess mileage clause is based on the principle of ascertaining an estimated value of the car, taking into account its age and anticipated mileage at the end of the hire period. The hirer is then offered the option to purchase the vehicle at the suggested price. Mileage which exceeds the stipulated amount under the terms does not however, mean that the vehicle is not in a reasonable condition.

In any event, such sums you are alleging to be owed may only be recovered by a court order only and should you wish to pursue this matter in court, your application will be strongly defended.

Please confirm by return that this matter is now closed.

I haven't put in the agreement number or anything here, but are in the letter to be sent.

However, what is of some concern, if this doesn't work, is how they have calculated the invoice. The pence per mile is, as far as I recall, wrong, but I will double check that. But they have based it on the mileage for the time I have owned the car, rather than have paid for. So I had to pay out almost 4 months worth of payments, up until roughly the end of December. So I have already paid for the mileage usage up until that point (as I see it), but they are claiming otherwise. Anyway, hopefully it doesn't come down to fighting down that route, as with the extra miles, and the extra cost (ppm), the invoice is roughly double what I was expecting.

Is that letter okay to send like that? It is basically a copy / paste of the letter on the FAQ thread, with the s100 bit taken out, as it was not referred to in the invoice. Or should I be leaving that in?

[R0b]

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

Hello,

The letter is fine by me. As for your excess mileage argument, it is something worth mentioning. however, they could argue that the mileage is calculated until the date of termination, the additional payments to make up the 50% doesn't have anything to do with the calcluation because they have a right by law to a minimum of 50% of the contract, and you can't calculate something based in the future if you are't in possession of it.

That would be my take on their counter argument.

Anyhow, they can't charge for excess mileage but keep an eye on your credit report, Ive heard they threaten to put a default on too.