VT Question - Charge to collect goods

[R0b]

Hi all,

have read this forum a while and wondering if someone with better knowledge of VT can help me out and it relates to the question of charging for the collection of goods. Whilst that post from Mr Peterbard at the top of this forum states that 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,, I did note that at the National Debtline website also said that companies cannot charge for the collection of the goods as this contravenes the Consumer Credit Act. Subsequently, I did ask them who referred me to trading standards as they were told by them that companies cannot do this amongst other things.

Dropping off the car isn't an option either they want me to do a 40 mile round trip in order to drop it off at auction. Despite an auction only 10 miles away which I am happy to drop off at, they seem to have a preferred auction and explained that I must immediately return the vehicle or pay collection.

Tried getting in touch with Trading Standards but no luck yet. As Law is my area of work I did examine the CCA and couldn't find anything in it which it explicitly says they cannot charge or it contravene the Act. So while I wait was wondering whether anyone has spoke to them or can shed some light on this further or provide further information as to why this is the case? I obviously have a few arguments myself but wondered whether someone else has been in this position before.

Cheers

Rob

[ostell]

Re: VT Question - Charge to collect goods

I think threatening to charge for storage of the car sometimes works wonders, as does telling the DVLA that it not yours anymore and they become liable for the tax and insurance.

Others will be along to add to it.

[judgemental24]

Re: VT Question - Charge to collect goods

I do not know if it is in the CCA or not but:

Driving 20 miles to a collection point (40 miles round trip) is perfectly reasonable to me. I am sure a court will agree as well

Driving 20 miles to get shot of the car for good and getting a train back makes perfect sense

[R0b]

Re: VT Question - Charge to collect goods

Driving 20 miles to a collection point (40 miles round trip) is perfectly reasonable to me. I am sure a court will agree as well

Well, subjective point I think however this particular auction is in the middle of nowhere and having already checked there are no train services and buses don't seem to run regularly (1 per hour or so) . Taking everything into account I wouldn't agree that it is reasonable considering there is an auction 10 miles away which I can drop off - If the finance company wishes to uses a particular auction dealer that is not my problem.

I think threatening to charge for storage of the car sometimes works wonders, as does telling the DVLA that it not yours anymore and they become liable for the tax and insurance.

I did explain that I would be storing if they chose not to come and collect and instead refused until I paid the collection fee. They did eventually back down and are coming to collect the car but are adding the £70 charge to the condition report (which I've been told I must sign).

Also received a letter to say that they have agreed to terminate and the Agreement is now terminated which then goes on to say that I need to sign and return the letter confirming that I agree to pay the £70 collection fee. If the Agreement has been terminated and is no longer in effect, not quite sure how they can enforce the collection fee.

Anyway, car to be collected Friday so will see what happens.

[ostell]

Re: VT Question - Charge to collect goods

Take a lot of photographs of the car, with the photographs showing the date if possible. also include in at least a couple of photos that days newspaper with headlines readable. Take photos of every point of the car so that you can show it was in good condition when it left you.

Only sign the condition report if you totally agree with it. Otherwise note any discrepancies on the form and take photos of the disputed areas.

No need to sign any of their forms. As you say it is already terminated.

[R0b]

Re: VT Question - Charge to collect goods

Well as an update, car was actually collected today, I wasn't there so advised the person not to sign anything which she didn't. The guy did note down that she refused to sign on the condition report which is fine by me and the £70 collection charge was on there. Not sure if he noted additional charges but I'll assume to receive a letter in the post in the next couple weeks.

Any idea on when the credit file gets updated? is this usually within a month?

[R0b]

Re: VT Question - Charge to collect goods

Received an interesting letter from Santander on Friday, I sent them a letter asking them to update my credit report and it still shows an outstanding balance despite handing my car back and accepting my VT. Now they have sent me a letter saying that I'm in breach of the terms of the agreement (doesn't say what terms though) and that breach has suddenly amounted to over £1,800 having initially quoted a much smaller sum.

Anyway, does anyone know if I refer a complaint to the Ombudsman what is the usual turnaround in getting them giving their opinion? The outstanding balance is definitely having a detriment on getting another car on finance as I have been told that until this is removed they will not agree to provide any finance.

[judgemental24]

Re: VT Question - Charge to collect goods

That looks to me the right hand not knowing the left. That is the VT

One department are saying you have stopped your monthly contractual payments so are in breach of the agreement. Another department saying the agreement has ended through the VT

[R0b]

Re: VT Question - Charge to collect goods

Well I sent the letter to the VT department, but prior to that they also sent me a letter saying that I owed something substantially less or they would forward onto their solicitors. I think they're taking the piss now and I am in weighing up whether to take this straight to court and bypass the FOS, claiming what I can in the meantime.

[judgemental24]

Re: VT Question - Charge to collect goods

You will be better taking this to the ombudsman first

If they trash your credit file remember Durkin

[mystery1]

Re: VT Question - Charge to collect goods

I don't know a huge deal about VT but at the risk of sounding like a tool, have you read your agreement ?

M1

[judgemental24]

Re: VT Question - Charge to collect goods

Satans Bank have already accepted the VT in writing and collected the vehicle so the agreement has now been terminated. The 50% termination point has been reached and confirmed

[R0b]

Re: VT Question - Charge to collect goods

Yeah I've read the terms.. there is a charge of £70 for collection but I refused and offered to drive a reasonable distance instead but they refused that, they also wanted me to sign a slip saying i agree to the 70 quid which I also refused.

The point about the ombudsman is that from what I've read across the internet as a whole is that they always seem to side with the finance company regarding excess charges and mileages when it is done under a VT. Despite pointing out the fact that the CCA limits a debtors liability to 50% only they still seem to side with the finance companies. The ombudsman is going to be of no use if the matter can't be sorted quickly - companies seem to react alot quicker when court claims are being made against them.

I feel it is a waste of time which will further delay in having the issue sorted. I will however contact the ombudsman tomorrow and find out how quick the turn around might be.. looking on their website it says anything from a few weeks to 3 months and if towards the latter is not reasonable for me as I do need the car as a matter of urgency now - its been 2 months since the VT and there's no excuse for them.

The letter doesn't reference what I've actually breached and how they have calculated that amount and it seems to me like its a number picked out of thin air. Wouldn't surprise me if someone read my letter and checked the account without reading and then decided that I actually owe this amount.

The letter refers to a default of the agreement but quite clearly impossible since the agreement ended on 2 September. Anyhow, shall give them a quick call to try and identify what the amount is for and take it from there.

There is practitioner books on this in particular Good on Consumer Credit Law and Practice and a few others which all state that liability is limited to 50% when the debtor VTs

[judgemental24]

Re: VT Question - Charge to collect goods

Section 100(1) Consumer Credit Act 1974

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

(1)Where a regulated hire-purchase or regulated conditional sale agreement is terminated under section 99 the debtor shall be liable, unless the agreement provides for a smaller payment, or does not provide for any payment, to pay to the creditor the amount (if any) by which one-half of the total price exceeds the aggregate of the sums paid and the sums due in respect of the total price immediately before the termination.

Game set and match

[R0b]

Re: VT Question - Charge to collect goods

Judgemental, can you remind me of the full name of the durkin case please?