Voluntary Termination Excess Mileage Charges

[katorik]

Re: Voluntary Termination Excess Mileage Charges

Hi Katorik,

Did you VT or did you see the agreement through to the end?

If you VT the agreement then they have no right to collect the excess mileage charges as your liability is limited but if you completed the agreement then they would have a right to pursue the excess charges.

Excess mileage charges where someone VT's an agreement is not a recognised debt and any markers in the credit report would amount to incorrect reporting.

The FOS appear to be hit and miss with their decisions but that could also be down to error by the customer if they don't know the relevant sections of law to use.

Perhaps you are better off starting your own thread so that it doesn't get lost in Brian's if he comes back to post.

I VT'd after the half way point. That was all accepted just they claim the mileage is outstanding. They seem to be relying on the bit of the clause that refers to having 'paid any overdue instalments'. As the T&C's use the words 'pro-rata' in front of mileage they claim the mileage is due.

How do I get the credit report marker cleared?

[LU01]

Re: Voluntary Termination Excess Mileage Charges

Hi All, I am just wondering if anyone could offer me some advice please?

I am in the process of a VT, and I've been told and have read that they cannot charge me excess mileage. I have called today & they are saying that they can. I am going to check my terms & conditions originally signed when I got my car and if there is nothing in there about excess mileage, I don't see how they can force me to pay! If I've signed to say I would pay the excess then that's understandable.

I also mentioned the whole 'charging to pick up the car' and I was told "Oh that charge stops on Friday anyway" ...... wonder how many Friday's they have said that about!!

T.I.A

[R0b]

Re: Voluntary Termination Excess Mileage Charges

They can charge you excess mileage if you complete your agreement but not if you VT, same applies to collection fees

[LU01]

Re: Voluntary Termination Excess Mileage Charges

They can charge you excess mileage if you complete your agreement but not if you VT, same applies to collection fees

Thankyou - I've had a look through the docs I signed when I originally got the car and it states on there that excess mileage will be charged at 8p/mile over the agreed allowance but nothing about whether that applies if I VT or complete the agreement so I'm abit confused, but don't want to pay an unnessary amount :/

[R0b]

Re: Voluntary Termination Excess Mileage Charges

Thankyou - I've had a look through the docs I signed when I originally got the car and it states on there that excess mileage will be charged at 8p/mile over the agreed allowance but nothing about whether that applies if I VT or complete the agreement so I'm abit confused, but don't want to pay an unnessary amount :/

If you click on the link below in my signature, it should answer all of your questions.

[LU01]

Re: Voluntary Termination Excess Mileage Charges

Hi Rob,

The car has gone to an auction now & finance company are chasing me for money.

I sent a letter from the template I got on here mentioning the act etc. I've now had a response saying that they can reduce the charges by over £100.00 but are unable to waive the full amount.

I'm abit confused how they can send me the documents I've signed stipulating the charges, yet still waive £100 odd pounds off the end amount?

Any ideas of what I can go back with would be appreciated.

Thanks.

[R0b]

Re: Voluntary Termination Excess Mileage Charges

Hi Lu,

They can reduce the charges if they like, that is at their discretion. What were they looking to recover initially?

It is up to you whether you want to pay up or refuse. If you refuse they may threaten you with legal action or pass off to a debt collector but ultimately for £100 its not commercially viable to go to court over a small sum as it will cost them much more to bring the claim than it would to write it off.

You could make a formal complaint, explain to them how they have arrived at that amount, why they did not mitigate their losses by selling the car other than an auction which brings in the lowest amount possible. Thing to remember also is that Manheim will probably take a commission fee or a cut of the money which the car has sold so that's an additional expense to them and obviously they would want to recover what they can from you.

If you make a formal complaint they should give their full reasons, expect them to not uphold your complaint and then your next option is the ombudsman.

[LU01]

Re: Voluntary Termination Excess Mileage Charges

Hi Rob,

Initially, the charge was £457.68 and now it has been reduced to £343.26

I think I will go back with the question of how they have got to the final sum of £343.26 - I am also going to hi-light the part in the contract about termination and my rights, and as long as I have paid half of the final sum owed by me, I can give the car back with nothing else to pay.

Thanks.

[R0b]

Re: Voluntary Termination Excess Mileage Charges

Hi Lu,

I don't think they will stop in chasing you for this, but might eventually give up on it. You are correct the relevant provisions of the CCA says they can't charge but they might claim it under section 100 which says they can be compensated for goods not in a reasonable condition. Well they would need to prove that the excess mileage put the car in an unreasonable condition and if it went to court they would need an independent expert to verify that which of course if the car has already been sold there is no way they can prove that.


You can also make a formal complaint to them and follow it through to the Financial ombudsman if they do not uphold your complaint. The FOS are a bit hit and miss though.

[roygbiv]

Re: Voluntary Termination Excess Mileage Charges

If you click on the link below in my signature under the FAQs I explain it all there but in essence, no they can't.

Hi rob, on reading through the forums you seem to reccomend to all and sundry to push back against excess milage claims and assert that going to court would be in the individual's interests due to interperataion of the CCA.

Great! Save for the 2006 County Court case you've cited a coupe of times, do you actually have any other examples where individuals have gone to court over excess milage and actually won? If so can you share details. This would be very useful to know!

[R0b]

Re: Voluntary Termination Excess Mileage Charges

Hi rob, on reading through the forums you seem to reccomend to all and sundry to push back against excess milage claims and assert that going to court would be in the individual's interests due to interperataion of the CCA.

Great! Save for the 2006 County Court case you've cited a coupe of times, do you actually have any other examples where individuals have gone to court over excess milage and actually won? If so can you share details. This would be very useful to know!

Roy,

I have posted in this thread instead in response to your question -> http://www.legalbeagles.info/forums/...charges-please!