Discrimination by Mercedes Benz finance when discovred I was to VT current car

[doubledenim]

Hi folks,

New here! Currently embroiled in a far stretching argument and complaint with Mercedes Benz finance (MBF) regarding a new car I have put a deposit on.

A little bit of background. I have been a MB customer for about 2.5 years and currently have two vehicles on HP agreements (my wife's and my own). I have been impressed with them as a company up until this point.

Remember the gripe I have here is that as soon as MBF caught wind of the VT they manipulated the finance agreement and requested a higher deposit. No where in my finance document does it say that VTing a car would impact a purchase of a new MB in the future. I see this as unfair discrimination of excising a legal right.

Chain of events:

1. Friday the 6th of September I put a deposit on a new E220 Sport Estate after a test drive a Mercedes Benz Bedford (500 pounds deposit paid via credit card)

2. Voluntary termination of my C350 vehicle notified. Outstanding payment of about 600 pounds letter received (personal plates applied for retention so I can proceed, happy with outstanding payment)

3. Monday 9th of September called by Bedford to request agreement of an additional 500 pounds deposit required from Mercedes Benz Finance (MBF) to complete the deal (which I agreed)

4. Wednesday 11th of September called by Bedford notify me that MBF that the deposit now needs to be 20% or I cannot proceed (no reason given)

5. Thursday 12th of September complained directly to MBF for urgent resolution of finance agreement (no response at all in over 3 working days)

6. 12th – 17th September, significant effort for Bedford to gain agreement to proceed

7. 18th September (AM) notified no response to complaint letter

8. 19th September (PM) conversation with Bedford to notify me all options their end exhausted other than to PX the C350 car and pay a contribution of 500 pounds and monthly payments 100 pounds more per month (not acceptable given deal on 6th September) Notified by Bedford that my car has been delivered and would be ready to collect.

9. 19th September (eve) complaint made directly to MBUK



Finally I receive a response via email from Mercedes Benz Fiance:
---------------


Dear Mr xxx


RE: Proposal (code)

Thank you for your email regarding the finance proposal for the purchase of a E220 from Mercedes Benz of Bedford.

We first received your application on Friday 6th September and we were advised by the dealer your current vehicle ******* would not be settled but rather handed back to us. Our Customer Services Department had recorded a call from you earlier that day, with regard to your intention to Voluntary Terminate this vehicle.

We advised Mercedes Benz Bedford by phone and email that evening that any future funding would require an enhanced deposit, in the region of 20% if you completed the Voluntary Termination. We have continued to clarify our position with Bedford over the past week. I contacted Alan Pierce this afternoon who advised he has clarified to you the finance options they are able to offer.

We are not refusing you the opportunity to exercise your rights to voluntary terminate your current contract, nor have we declined you credit. We are requesting an enhanced deposit on future agreements should you decide to purchase your E220 with Mercedes Benz Financial Services.

Regional Manager
Dealer Service Centre - South & East
Mercedes-Benz Financial Services UK Ltd

----------



So there it is in black and white:

"We advised Mercedes Benz Bedford by phone and email that evening that any future funding would require an enhanced deposit, in the region of 20% if you completed the Voluntary Termination"

They have admitted changing the underwiriting due to me acting a legal right.

I am left wanting to purchase this vehicle but not wanting to increase the deposit significantly and for the original deal to be acknowledged (which was originally approved prior to knowledge of VT!).

I am not finished with persueing this as a complaint and going much higher in the chain.

Can anyone provide me any information from a legal point of view?

Apologies in advance for the long post and thank you for reading

[charitynjw]

Re: Discrimination by Mercedes Benz finance when discovred I was to VT current car

Does the contract for the new car contain any kind of 'conditional' clause to give them the wriggle-room?

(Ie, "In the event of blah-de-blah, we (Merc) reserve the right (more blahs)............"

[wales01man]

Re: Discrimination by Mercedes Benz finance when discovred I was to VT current car

In law are there not certain groups of people who you cannot discriminate against like race religion etc in this case which one applies seems its a commercial decision ?

[charitynjw]

Re: Discrimination by Mercedes Benz finance when discovred I was to VT current car

In law are there not certain groups of people who you cannot discriminate against like race religion etc in this case which one applies seems its a commercial decision ?

Hi Wales,

Discrimination laws concern 'protected characteristics' & the discrimination must directly or indirectly be linked to the characteristic(s).
For instance, you can't say "I'm disabled, so I'm protected"
You must first prove that you have the characteristic, then show that, but for the characteristic, the discrimination would not have occurred

[wales01man]

Re: Discrimination by Mercedes Benz finance when discovred I was to VT current car

Thanks Charitynjw.so the OPs claim of discrimination probably wont work?

[charitynjw]

Re: Discrimination by Mercedes Benz finance when discovred I was to VT current car

Thanks Charitynjw.so the OPs claim of discrimination probably wont work?

It wouldn't be discrimination per se.

Could be an unfair practice - it would need the T&C's looking at.

[doubledenim]

Re: Discrimination by Mercedes Benz finance when discovred I was to VT current car

I have to say unfair practice sounds much more what I was looking to describe.


looking over the documents I have for the vehicle.
I can only find a copy of the car order with the receipt of the deposit. Nowhere does it mention about withdrawal of finance.

The MBF documents I wasn't given a copy of, I'm requesting those as a priority to check wiggle room. I'm sure it will state they will have the right to pull finance but I doubt it will say anything in relationship to those wishing to VT. Hence the unfair practice.
Thank you so much, more info on Monday!

in the meantime I will send some email chasers over the weekend.

[labman]

Re: Discrimination by Mercedes Benz finance when discovred I was to VT current car

My feeling, based on normal sales in shops, is that they don't HAVE to sell you anything. I think they'll be within their rights to change the terms of sale. The best angle of attack I would imagine is to find their T&C's (I couldn't find them on the internet) and see if they mention raising the interest rate for people with poorer credit ratings. If there is something like this in the T&C's, with a good credit history, then unfair terms would clearly kick in.