Jon0910 Voluntary Termination & Mileage Issues

[Guest]

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

Hi jon 0910

Hmm

I had a chat with the National debtline adviser this morning about this. He tells me that this has been raised with the ombudsman before, and previously they have declined to give an opinion, stating that the matter would have to be resolved in court on a case by case basis.

We would both be interested to see this response, if possible.

I am sure you understand that these forums are full of trolls from the credit industry, and this particular subject attracts more than its fair share of interest, as it costs them a lot of money every year.

Not that I do not believe you of course, but in view of your low post count and the unusual manor that the decision was made, I personally believe it in the interests of other members to view your report with a healthy skepticism until we see some proof.

[Jon0910]

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

Andy,
Thanks as always for your reply. I understand your caution.
Please find attached a redacted copy of the letter I have received from the Financial Ombudsman Service.
I look forward to your opinion.
Jon

[Guest]

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

Many thanks for that.

Unsure of the logic regarding, " since you returned the goods you were liable", surely this is the whole point of a VT, in that you are enabled to return the goods.

Is it OK if I borrow this ?

[Jon0910]

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

Andy,
Yes, feel free.

[Guest]

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

Would it be possible to see a copy of the actual complaint ?

[Jon0910]

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

Can I email it to you?

[Guest]

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

I will ask permission

Possible response:

Many thanks for the response to my complaint.
I wonder if you could clarify some points raised within it for me.
The vehicle was terminated under section 99 of the consumer credit act 1974, the formula for calculating sums due upon termination are given in section 100.
From what you say a contractual term can override the legislation in this regard; I feel it important to explain the rationale for this.
Alternatively is it being said that a PCP agreement is not a conditional sale or HP as defined in the act and the legislation does not apply?
Or is it being said that it is for the trader to decide on what is “reasonable care”, if this case I would refer you to the unfair terms regulations, as the figure given in no way represent the normal usage of a vehicle as prescribed by various authorities.
Many thanks

[Amethyst]

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

That's fine if it's okay with Andy.

Just had a very quick read back - Clause 4.4 says 12,000 miles per annum and clause 12 says if you exceed that you'll be charged. Just checking that's right from the contract - confused where the 6k mileage came in.

[Jon0910]

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

That's fine if it's okay with Andy.

Just had a very quick read back - Clause 4.4 says 12,000 miles per annum and clause 12 says if you exceed that you'll be charged. Just checking that's right from the contract - confused where the 6k mileage came in.

Amethyst, is your reply in response to the thread between myself and Andy58? If so, I'm a little confused what document you are referring to that you have read that refers at Clause 4.4 to 12,000 miles per annum. Please can you clarify?

[Guest]

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

That's fine if it's okay with Andy.

Just had a very quick read back - Clause 4.4 says 12,000 miles per annum and clause 12 says if you exceed that you'll be charged. Just checking that's right from the contract - confused where the 6k mileage came in.

I think there may be a bigger issue here. If a contract can "contract out ",of the protections available within the act with the permission of the FOS, then what protection is there ?

I know that these contracts historically have included a mileage charge, but until this I have not seen a regulator nail their colors to the mast. If the consumer is bound unrestricted by the contract, then what is to stop the creditor putting any other punitive measure within the contract.

At best it is a way of circumventing the protections available within section 99 in limiting the liability of the debtor on a poor bargain, I would like to copy the response to the FCA for their comments, with permission of the OP.

[Guest]

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

i thinl Amethyst is referring to a different poster, 1200 miles although arguable, would probably not be an unfair term however I would still argue its enforceability.

[Jon0910]

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

Andy,
I have sent the queries you raised in your earlier post to the adjudicator at the FOS and will advise once I receive their response.
Can you paraphrase the response to the FCA?

[Guest]

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

of course.

Also my PM response if you like.

[Guest]

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

Liability of debtor on termination of hire-purchase etc. agreement.

(3)

If in any action the court is satisfied that a sum less than the amount specified in subsection (1) would be equal to the loss sustained by the creditor in consequence of the termination of the agreement by the debtor, the court may make an order for the payment of that sum in lieu of the amount specified in subsection (1

[Amethyst]

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

i thinl Amethyst is referring to a different poster, 1200 miles although arguable, would probably not be an unfair term however I would still argue its enforceability.

Ahh was just picking up the attachments off the thread - but this is quite a long thread with a number of cases in isn't it, my bad. Would it be an idea to split the thread for Jon0910's particular case?