VT query

[R0b]

If you said you'll cancel the tax and insurance after 21 days, then you can't cancel it any earlier otherwise that goes against what you said.

[YorkUY13]

Sorry, and the other question is that when processing the transfer to DVLA, the form asks for confirmation that the other party has given their consent to the transfer, otherwise it doesnt allow me to proceed. Am I protected by the notification I've given to them through the letter?

[YorkUY13]

Thanks Rob. So then it's not applicable to tell them that I would transfer the vehicle to the DVLA, as it cannot be done unless tax is cancelled. Would you suggest I proceed in any other way given that BMW will probably read my letter and think that they shouldn't be doing anything as, if I transferred the vehicle, I would be breaching what I've already told them about the tax? Just for clarity, this is the (redacted) letter I sent to them on the basis of option 1:

"Dear Sir or Madam,

Re: Termination of Personal Contract Purchase agreement pursuant to section 99 of the Consumer Credit Act 1974 (“CCA 1974”)

On 26th July 2019 I wrote to you exercising my right to terminate the above Personal Contract Purchase agreement (“the agreement") with immediate effect in accordance with Section 99 of the CCA 1974.

On 31st July you contacted me by telephone, advising that due to the fact that my last payment of £2,000 made on 18th July 2019 would not be reflected in my account before 15th August 2019, the agreement could not be terminated. You also said that I should write to you again on or after 15th August to reiterate the exercise of my right to terminate.

I wrote again to you on 31st July 2019 requesting confirmation of where in the CCA 1974 it is stated that in order to be able to exercise my right to terminate the agreement I would need to have paid 50% of the total amount payable. I also requested that you act on my letter dated 26th July 2019 and process the termination, contacting me within 14 days of the aforementioned letter to make arrangements to collect the vehicle.

On Friday 2nd August, after having received an email reply from you which did not address my specific requests, I emailed you requesting once again your confirmation of my Voluntary Termination with effect from 26th July 2019, by 5pm on Monday 5th August, at which time I would consider this a repudiatory breach. Further to your email response on Monday 5th August, you have made it clear that you are not accepting my termination letter and expect me to write again once you have processed my last payment made in July. The right to terminate under Section 99 is not a request, it is unilateral and is not conditional upon something else occurring. I am therefore accepting your repudiatory breach and terminating the agreement immediately.

The net effect of doing so is that I am discharged from all future obligations (e.g. payment for damage to the vehicle, excess mileage, etc. as those charges have not yet matured) and I will now consider an action against you for damages as a consequence of the breach.

I am also hereby notifying you that I am informing the DVLA that [Finance Company] are now the registered keeper of the vehicle. The car is currently parked in a private driveway, and any permission for it to stay on there is now revoked. I am therefore giving you 21 days to collect the car, otherwise it will be put on a public highway, both tax and insurance will be cancelled and all losses are borne by [Finance Company].


Yours faithfully"

[YorkUY13]

Hi Rob,

I have finally received a request from the finance company's agent to book an inspection/collection date. I have been trying to get answers to a couple of questions I have in other threads but haven't managed to find them, so it would be great if you could help, please:

1. The collection agent's guide states that "if the service light is on, a service should be carried out before collection", otherwise they will refuse collection. This light has been showing for 2 months in the vehicle, despite the annual service not being due until 15 September (registration date 3rd anniversary). Am I due to carry out this service myself even if due post contract termination, and can the agency/finance company therefore refuse to collect the vehicle on this basis?

2. In line with the above, the vehicle 1st MOT is not due until 15 September; do I need to have this in place?

3. I know I shouldn't be signing any paperwork, but the agent's guide states that I should sign "for the release of the vehicle and any chargeable damages". Does this fall into the "paperwork" category?

Many thanks again

[R0b]

Well that's a new one but I think common sense should prevail here.

As the agreement has already terminated, there is no obligation legal or otherwise to have the car serviced - even more so when the service light is on but is not actually due. Even if a service is due but not carried out, that doesn't mean that the car is deemed to be in an unroadworthy condition and if that's what they are suggesting then they will need to prove it.

I suspect this might be a request from the finance company of the conditions of collectio. Nevertheless, it isn't your duty to do so, it's the finance company's duty.

You've not mentioned when they are coming to collect the car but you would be wise to email the finance company and explain the situation and ask them to confirm that they will in fact collect the car - send a copy to their agent too so they are aware of the situation.

If they refuse, that's no problem as you can then send them a letter giving notice that you will be selling their goods if it isn't collected within 7 days. Normally I would say 14 but since they came and then refused to collect without justification, 7 days is not unreasonable. Whack it on ebay and you can put some context in the description as the lawful basis on which you are selling the car. I'm pretty certain the finance company won't like that and will immediately arrange for someone to collect.

If calling them is the only option, you would be wise to follow up with a letter recorded delivery to their address confirming what was discussed and any next steps.