Voluntary Surrender Charges?

[wiked59]

Foolishly approximately three years ago I stood as guarentor on a HP agreement with my son for the purchase of a car.

He lost his job and I was left paying, which I did until I lost my job at which time after discussions with the HP company I arranged a Voluntary Surrender.

I paid a collection fee and the vehicle was taken away with no checks, no signature highlighting any issues or problems with the car.

This was approximately a year ago.

I was aware that as the payments made hadnt achieved the 50% figure there would be a balance to pay - which was indicated to be around £425.10.

On Friday 29th July 2011 I recieved a letter confirming this amount, plus a letter fee of £20 Plus an invoice for repairs to the car, totalling £555.00

The repairs apparently are covered by the loss and damage clause. However as the vehicle has been eleswhere for a year, the majority of these repairs, I believe do not fall under this category and some quite obviously are incorrect.

Split Bumper Panel £150 not notified or agreed to on collection of car
Battery £50 - Battery was under six months old at time of collection
Replacement Auxilary Belt Tensioner £120 - Wear and tear according to another garage
MOT - current at time of collection, although we did not,have certificate, having advised them it was current they collected and drove the vehicle away - MOT certifcates are obtainable for reprint by any MOT garage

My sone had altered interior door panels and to change them back they are charging £200 - I suspect this I cant argue :-(

Can I have your views and advice on the above please prior to my writing to the credit company

[CleverClogs]

Re: Voluntary Surrender Charges?

Who is the credit company?

[Caspar]

Re: Voluntary Surrender Charges?

You're actually quite lucky in many ways. Often these companies don't inspect the cars on collection, then fabricate vast sums of repair bills for scratches that don't exist etc.....

I know anything above what you were expecting is hard to stomach, especially when it's not your loan in the first place, but I'd be inclined to pay the extra £130 and put it down to experience as you could easily have been charged more.

If you choose to argue the point I'm sure everyone here will support you all the way, but I'm just talking from a very unpleasant personal experience!

[charitynjw]

Re: Voluntary Surrender Charges?

This has got to be filed under 'They're having a laugh', surely?

They've has possession (& responsibility) of the car for a year, yet they are only now pointing out damage which was allegedly done to it prior to them taking possession!

I'm no expert in contract law, but I would require some kind of creditable proof of liability before I would take any action.

& I would inform them that my administration charges are, by some strange coincidence, exactly double what they charge, & they will consequently agree to this arrangement should they require me to enter into further discussion!!
(Pointing out that 2 times 0 = 0!)

[wiked59]

Re: Voluntary Surrender Charges?

You're actually quite lucky in many ways. Often these companies don't inspect the cars on collection, then fabricate vast sums of repair bills for scratches that don't exist etc.....

I know anything above what you were expecting is hard to stomach, especially when it's not your loan in the first place, but I'd be inclined to pay the extra £130 and put it down to experience as you could easily have been charged more.

If you choose to argue the point I'm sure everyone here will support you all the way, but I'm just talking from a very unpleasant personal experience!

The actual sum over and above the original £425.10 is another £20 for their letter and a total of £555.00 for repairs after one year giving me a grand total of £1000.10

Everything they have charged me for has occured since it was in their care - I had a three year warranty on battery had they asked!!!
------------------------------- merged -------------------------------

Who is the credit company?

North Herts Credit Company - not heard a peep from them for a year then this....typical!

[CleverClogs]

Re: Voluntary Surrender Charges?

The actual sum over and above the original £425.10 is another £20 for their letter and a total of £555.00 for repairs after one year giving me a grand total of £1000.10

Everything they have charged me for has occured since it was in their care

Not quite everything - your son had changed some of the door panels, so you should pay that part of the claim.

How long did the "tax disc" have to run when they took it back? Have they paid for the unused portion of that?

[wiked59]

Re: Voluntary Surrender Charges?

I agree with the door panel bit - but is that damage, I would have thought that is personal preference but thats just my opinion - No tax disc it was SORN, but the Hire Purchase man was happy to drive it lol

[Caspar]

Re: Voluntary Surrender Charges?

Apologies, I misread it as the sum had increased from £425.10 to £555. Given the £555 is additional fees after a full year, then I would agree that you should fight it.

I assume you haven't moved house or your son has not had any letters regarding these charges in between the car being surrendered and today. Just trying to think of things they may come back with like, "Well we've written to your son a few times about this, but he didn't reply."

Might be worth double checking before you play merry hell with them.

[wiked59]

Re: Voluntary Surrender Charges?

No letters - as guarantor I always throughtout the period of ownership of the car recieved copies of every letter sent by the HP company - and prior to returning the car I communicated with them very regularly as I believe avoiding problems just makes them worse. They have no excuse for not speaking to me prior to initiating all this work.
Additionally the Battery on the car had over a full two years warranty left on it.
Only once during the year that they had the car did I speak to them - when I recieved a letter chasing arrears, which when I called them they said was sent in error....apart from that nothing at all.

I am going to offer the a full and final settlement figure of the original £452.10 and if they want the rest I shall see them in court with their proof of when the damage occured - as for the change my son made to the interior door panels - had they requested them I could have given them to them.

The car is now sold so I have no way of checking that any of the billed works have actually occured - strangely the car was returned by the HP company back to the garage where it was purchased - the same garage that has issued the estimate for repairs..

Which has just drawn my attention to the fact that the letter sent by the HP company asking for payment for these works has only been accompanied an estimate supplied by the garage (Dated over a month ago) so in theory the works should not have been done....(I know they have been because the HP confirmed it over the phone and the car has now been sold)