Mid Voluntary Termination Billing Finance Guidance

[DannyB]

Hi All,

Have been a long time lurker on the forum and had some great advice which I have used, most recently the template for Voluntary Termination which I have been helping my Missus with.

Okay so she has had nothing but problems with the car, all which she has fixed and now wants to start a fresh and move on from the vehicle.

She called Billing Finance to state she wants to VT her agreement as stated she could on her original contract once 50% had been reached. She needs to manually pay an extra £189 before she officially reaches this stage which she has done.

So a letter has been sent ( The template for VT off this forum ) stating our intent and they have sent us a pack to sign stating numerous things regarding ending the agreement. Have not yet signed.

They stated to her that they can either collect for £100 charge or she needs to drop the car off in Leeds or Northampton. Leeds is closer but is still a good 1 hour - 1:30 hour drive away so is not really a 'reasonable distance' which I have stated in the letter.

I wanted advice in regards to proceeding forward, she will be arranging to drop the car off on Thursday either at Leeds or somewhere closer if agreed later today on the phone. My main questions are as follows;

It has just had a full MOT on Saturday 7/05/2016, which is passed with absolutely no advisories, once we take it back they will want to inspect which her dad will be going down to oversee with her as I am working. What steps do I need to take from here on in?

Thanks in advance for any replies.

[DannyB]

Re: Mid Voluntary Termination Billing Finance Guidance

Just a quick update, I have just come off the phone to a lady who mentioned they haven't yet received my letter. I stated it was tracked and shows it has been delivered which she replied it is not showing up on the system yet.. Which makes sense?

I again went through the process with her and mentioned that leeds is an unreasonable distance, to which she replied unfortunately the only drop off points available are Leeds and Northampton. So I seem resigned to going to Leeds.

She has told me that a ' Specialist ' will be contacting me some time this afternoon to go through it with me.

[R0b]

Re: Mid Voluntary Termination Billing Finance Guidance

Hi Danny,

If you have not read it already, click on the link below in my signature which should answer most of your questions. There is an FAQ on collection charges, but if you still need help feel free to post and I will see what I can do.

[DannyB]

Re: Mid Voluntary Termination Billing Finance Guidance

Thanks Rob, I'll take a look.

My main issue is the document they have sent, I don't see why i'd have to sign this which states things such as charges etc. when I have already sent the template letter which was posted on here stating my VT.

[R0b]

Re: Mid Voluntary Termination Billing Finance Guidance

It is simply a way of them trying to coerce you into agreeing charges and once they have your signature they can use it against you if they take you to court. Unlikely that they will take you to court for a small amount of money but they like to use that as a way to put pressure on paying.

You are not legally obliged to sign anything.

[DannyB]

Re: Mid Voluntary Termination Billing Finance Guidance

Yes, this much I Gathered which I have told the missus not to sign absolutely anything.

Once this ' Specialist ' Rings me, I will state that we will bring the car down on Thursday, after I have cleaned the car inside an out with pictures taken, and I assume they will just need to do an inspection of the car with myself present and to sign any damage report if I agree with it.

Once this is done, hand over the keys and say adios

Well, I hope it goes this smoothly, which I doubt it will as it never really does.

[R0b]

Re: Mid Voluntary Termination Billing Finance Guidance

You would think, but unlikely if it was me I wouldn't sign any damage report even if there is nothing on there. They will no doubt come back and say that you agreed to pay as you signed - if you do decide to sign it, then get a copy for records

[DannyB]

Re: Mid Voluntary Termination Billing Finance Guidance

No problem, I wanted to get the matter resolved ASAP, as she has a loan on the way and has found a car which we have put a small deposit for them to hold it for us.

May I send you the documents that they have posted out to me, if you wouldn't mind giving me a bit of advice regarding whether to sign or not?

[R0b]

Re: Mid Voluntary Termination Billing Finance Guidance

You can upload them and redact any personal info. You can do this by clicking on the "Go advanced" button and then there is a paperclip icon to upload. Or you can email Kati@legalbeagles.info and she can upload when she is available.

I probably already know what's on there and would suggest not to sign it but i'll take a look if you wish

[DannyB]

Re: Mid Voluntary Termination Billing Finance Guidance

Here are the first 5 pages, last one in second post.

For a start they have stated there must be a legal 3mm tred on each tyre, which we all know is 1.6mm.

[DannyB]

Re: Mid Voluntary Termination Billing Finance Guidance

Last page,

Thanks Rob.

[R0b]

Re: Mid Voluntary Termination Billing Finance Guidance

Well, as I said I wouldn't sign it as you are basically saying you accept any liability incurred. They mention their standards but that is subjective as the CCA says reasonable so that is the standard that has to be applied. They also mention at the back about motor industry standards but there is no reference as to what this standard is. I am not aware of any industry standard for consumer hire purchase/conditional sale. There is the BVRLA but that is used for commercial vehicles and leases so I suspect this is what they are referring to.

First page is a bit misleading too as it says where the vehicle is damaged in any way. This should not cover damage which was already sustained prior to having the vehicle yourself as that was not caused by you. I assume like many other lenders an inspection was not conducted prior to obtaining the vehicle so damage which occurred prior to use will be your word against theirs.

[DannyB]

Re: Mid Voluntary Termination Billing Finance Guidance

Cheers for taking the time to read Rob,

Sorry to be a pain, just want to get it sorted for the Missus. But any suggestions as to what to say on the phone when this so called ' specialist ' calls me later on today?

[R0b]

Re: Mid Voluntary Termination Billing Finance Guidance

I don't know what this specialist will say to be honest. Just tell them that you have complied with giving notice under the CCA, they cannot charge for collection and you are not driving to Leeds/Northampton. You expect the it to be collected within a reaosnable time e.g. 14 days from giving notice. If they refuse to collect, then simply tell them that if the car is not collected within 14 days then you will cancel the tax/insurance and notify the DVLA that they are the registered keeper and any liability form that point forward rests with them for being unreasonable.

I believe you can update registered keeper online now so that will probably be the quicker option but don't cancel tax/insurance until you have done that and got confirmation. They will no doubt collect the car after that or bigger fool them if they don't. Your liability is restricted to 50% of the total amount payable and any further fees which increase liability is void. So if they unreasonably refuse to collect then that is their fault not yours - nothing stopping them from collecting and collecting the charge through the courts if they feel they have a case against you, which they don't

[DannyB]

Re: Mid Voluntary Termination Billing Finance Guidance

Thanks rob, all this has been noted down and I feel I have a strong case when they call to put it to them.

Really appreciate your time and help, will update you once done.