Voluntary Terminate a HP Agreement Question

[Gary78]

Hi I hope can help.
I have terminated my HP agreement with my finance company as I have paid over half my agreed amount. I have the used the letters templates on [MENTION=71570]R0b[/MENTION] page below.

http://www.legalbeagles.info/forums/...ment-*UPDATED*

I have asked the finance company to collect my vehicle within 14 days in my letter dated the 29^th May. The finance company have acknowledged original letter, but are stating the vehicle needs to be inspected and returned at my own expense.

I have used [MENTION=71570]R0b[/MENTION] letter for “Response to lender disputing collection charges” asking them to collect the vehicle, but again I’m informed someone will be in contact to inspect the vehicle and I need to return it at my own expense.

My question is how long do I need to give the finance company to send someone out to inspect it so it can be returned? My car is only insured till the 18^th June.
In one of the letters that I sent I stated this from [MENTION=71570]R0b[/MENTION] template: Should you refuse to collect the vehicle after the 14 day period has expired, I shall therefore cancel the remaining tax and insurance and return the V5C document to the DVLA informing them that you are now the registered keeper of the vehicle, and any subsequent liability shall rest with you.

Can I do the above?

[R0b]

Re: Voluntary Terminate a HP Agreement Question

Hi Gary,

The letters used are just examples of what you can do or say to the lender. If they want to inspect it then they should do so within a reaosnable time usually 14 days, if longer then they should give a reason why its taking so long.

You don't need to return the vehicle at your own expense as the law says that once you have terminated liability is limited to 50% of the amount (except if car not returned in reaosnable condition) and any contractual terms which impose additonal liability on you post termination, then that clause is deemed void and unenforceable.

Lends will argue otherwise and I guess you can go to the Ombudsman about the collection fee but they are hit and miss depending on who you get.

As for the V5C and notifying the DVLA, just so you are seen to be reaosnable, perhaps write to them further given a final 7 days to arrange collection (3 weeks more than reasonable) otherwise liability will remain with them. you don't have to go down this route if you are happy to continue paying tax/insurance its just an option.

I would also keep an eye out on your credit report as thye may put a default or missed payment on your file which is not correct and inaccurate. If they do, onl way of removing that will be to go to court, although you can complain to the ICO but as the provisions of the CCA can be confusing, not sure they will understand.

[Gary78]

Re: Voluntary Terminate a HP Agreement Question

Hi R0b,

Apologies I haven't got back to.

I never heard anything from the finance company so I emailed them on Monday informing them that the 14 days are nearly up and also informing them that car is only insured till 18th June. They claimed to have wrong phone number, the biggest lie as it was on all my letters to them.

I've now had a phone call today regarding inspecting the vehicle after next Wednesday, which will be well over 3 weeks since my orginal letter to them. The company coming to inspect will only give me a date and time between 8am - 6pm, I have asked for a time so someone can be there but this is getting refused by them. I even suggested a Saturday and this was refused.

I am now unsure what to do as I can't have someone wait all day for someone to come and inspect the vehicle as work du ring the day.

I was going to send V5 log book back to DVLA but it looks like the new owner needs to sign the form, is this correct?

[R0b]

Re: Voluntary Terminate a HP Agreement Question

Hi Gary,

If you work, you could try to arrange the car to be inspected at work if possible? it would be unreasonable for them to expect you to be in all day and not be able to arrange a time. Was it the agents who called you to arrange a time or the finance company? Try and speak to the agents inspecting the vehicle and nail down a better time. if they can't and it's not possible for you or someone to be there then you could say they are being unreasonable.

You would normally need to counter sign the paperwork but you can do it online actually here -> https://www.gov.uk/sold-bought-vehicle

you might want to warn the finance company first and try to do the suggested above. If not then put it in writing what you are doing and your reasons why so you can use it as evidence in case they try to make a claim against you.

[Gary78]

Re: Voluntary Terminate a HP Agreement Question

Hi R0b

Thanks again for your information. I have been reasonable with the Finance Company and i manage to have some with the vehicle when it got inspected.

Now i have bill for £546.21 for damages, i am trying to fight this any help would be gratefully received?

I have mentioned to them in an email, that my insurance with car has ended on 18th and after this date I will be levying a £50 storage charge per day until this vehicle is collected. the Finance company have told me i am not allowed to do this as it does not state in my terms and conditions with them that i can do it, however it does I can't either. The storage charge currently at £350, at date of righting this, can i levy this charge to them until the finance company arrange to collect the vehicle?

The finance company are also refusing to collect the vehicle, however as stated in the second post i should not return it at my own expense.

"You don't need to return the vehicle at your own expense as the law says that once you have terminated liability is limited to 50% of the amount (except if car not returned in reaosnable condition) and any contractual terms which impose additonal liability on you post termination, then that clause is deemed void and unenforceable."

One last bit of information my agreement was for 5 years and i have paid 3 years 1 month so over 50%.

[R0b]

Re: Voluntary Terminate a HP Agreement Question

Hi Gary,

Little bit confused by your post, are you saying that the finance company has inspected the car but refused to collect it? On what grounds did they refuse to do this?

Can you provide a breakdown of the bill for damages? How does it stack against what you think, taking into account that the vehicle need only be returned in a reasonable condition? Did you take photos?

As for the storage costs, might be a little on the high side but I guess you can charge what you want if it is taking up space on your property. You are right however, the terms and conditions don't say that but there's nothing to say that you can't. If you own the property and its sitting on a drive you could claim storage costs as the car is no longer yours, and they have refused to collect it. Alternatively you could say that it is trespass onto your property too or claim that its costs for ensuring the vehicle is kept in a reaosnable conditin until collected - numbe rof reasons you could claim for the money.

Have you notified the DVLA that they are now the registered keeper or are you yet to do that?

[Gary78]

Re: Voluntary Terminate a HP Agreement Question

Hi R0b

Thanks for the quick response, sorry for the confusion. Yes the finance company sent a company called Manheim to inspect the vehicle, but are stating in the letter with the charges that i have to return the vehilce to a location 40 miles away. When i phoned them yesterday, i was told this is in the terms and conditions.

Servie History incomplete - £170 - unfortunitley the mechanic i take the car for a service does not have a stamp but it has been done every year
Front Wheel Trim R cracked - £26.07
Front Wheel Trim gouged 100mm - £26.07
Rear Wheel Trim R broken - £26.07
Front Door Dent Paint Damage 10-30mm - £185 - this was on the car when i got it
Rear Bumper Scractched 26-100mm £58 - again this was on the car when i got it
Quarter Panel R corrosion/rust - £55 - i have looked at this and it has 10 orange dots and it was hard to find.

Yes I have taken photos before and the ones that have been pointed out.

Not contacted the DVLA yet, because i thought i would be reasonable to them about the inspection. Should i contact them?

[R0b]

Re: Voluntary Terminate a HP Agreement Question

Well, you could say that returning the vehicle some 40 miles away is considered unreasonable, that is an 80 mile round trip which will incur you further expense e.g. putting fuel into the car, arranging transport to come back. This obviously goes against the provisions of the CCA in that your liability is limited to 50% and specifically provides that any contractual term which incurs additional liability or obligations, it is void and not enforceable. If the destination is a Manheim auction and someone has come from Manheim, why the hell didn't they just take it away if they are going back in that direction!

How old is the car? Looking at the breakdown potentially the only thing that they might have grounds for arguing is the possibly the cracked and broken wheel trim and maybe the corrosion or you could argue thhat the condition of the car is all in all reasonable given its age.

Certainly wouldn't be able to charge £170 for an incomlete service history, can you get a written statement from the mechanic who has done it every year to confirm that he carried out a service? If you use that mechanic again perhaps get him to write you a receipt confirming what work was done, or just write in the service book and add his signature.

Who is the finance company, I don't think I know who this is?

When did you send them the email and what date was their response? You could write back to them confirming what is suggested, possibly give another 7-14 days to collect otherwise you'll inform them that they have had ample time to collect the car, they have decided not to and you are no longer going carry on storing the car and it will now be left on a public road. Liability for the car will then rest with them if they decide to do nothing about it.

Just another question, does the letter or inspection say what standards it was carried out to e.g. BVRLA?

[Gary78]

Re: Voluntary Terminate a HP Agreement Question

Hi R0b,

After eventually speaking with a manager, I have managed to knock a lot of the fees off, including the service history, so only paying £200 - I just want rid of the car now so I have agreed, plus that was my payment for this month, so no loss.
I have also managed to get them to come and collect the car - fingers crossed tomorrow.

A default notice did arrive today for the missed payment on the 15th, however the agreement was cancelled on the 29th May, so this does not apply but I will keep an eye on my credit rating.

By the way the company in question was Private & Commercial Finance Group. A nightmare to deal with and try every trick in the book.

Thanks again for all your help, much appreciated.

[R0b]

Re: Voluntary Terminate a HP Agreement Question

Well at least you have a result either way although not the best result. I can understand you wanting rid of it as it can be a bit of a ball ache depending who the finance company though I've not come across this company before.

I suppose these are just the type of tactics employed by some of them until they wear you down and eventually give in and any money gained is enough for them.

Just make sure to take photos of the car and get confirmation of £200 in writing if you haven't already they might go back on their deal!