Urgent: Is this legal?

[labman]

Re: Urgent: Is this legal?

Thank you, that might make a big difference!

[labman]

Re: Urgent: Is this legal?

Yes, that tips the balance nicely in her favour. I've found the letter in National Debtline, just need to look into the formula for s100 now before informing the lady in question.

Thanks so much everyone, especially Peter!

[Guest]

Re: Urgent: Is this legal?

http://www.nationaldebtline.co.uk/en..._purchase_debt

Peter

[labman]

Re: Urgent: Is this legal?

If you decide to terminate your agreement voluntarily and hand back the goods to the creditor, you should only have to pay up to half of the total amount payable under the agreement

Looks like it isn't half the value of the car afterall!

[Guest]

Re: Urgent: Is this legal?

Hi

No its the value due under the agreement immediately before termination.

The total amount due under the agreement is not due untill the agreement ends.

100 Liability of debtor on termination of hire-purchase etc agreement
(1) Where a regulated hire-purchase or regulated conditional sale agreement is terminated
under section 99 the debtor shall be liable, unless the agreement provides for a smaller
payment, or does not provide for any payment, to pay to the creditor the amount (if any) by
which one-half of the total price exceeds the aggregate of the sums paid and the sums due

in respect of the total price immediately before the termination.





Peter

[Guest]

Re: Urgent: Is this legal?

Hi

Edit Totally incorrect statement, sorry

Peter

[labman]

Re: Urgent: Is this legal?

No problem Peter, I was in bed!

I gave the agreement back to her when she came last night, and annoyingly do not have a copy of the page with the figures on. I'll phone her today though and ask her to delay a day or two until I've had a look again.

It's going to be a close thing for her. From memory, I know she has paid:

Part ex deposit. £2500
Cash deposit. £200
2 x monthly payment. £340

TOTAL SO FAR: £3040

The car was bought for £3800, but with the horrendous interest rate, I'm not sure what the total repayable was. As long as it is under £6080 she should be all right.

I am away much of today, but will post up and let you know once I have the relevant information. Thanks again for your help!

[CleverClogs]

Re: Urgent: Is this legal?

No problem Peter, I was in bed!

With whom? :rofl:

[labman]

Re: Urgent: Is this legal?

With whom? :rofl:

CC being suspicious!

It was my wife actually! :beagle:

[seduraed]

Re: Urgent: Is this legal?

If you can possibly keep making a payments until you reach the stage of voluntary termination do so . I believe that the section above only applies if the agreement is up to date. Also watch some companies on hearing that you want to VT the vehicle will try to get yo to pay late then , default and terminate the agreemnt removing your right to VT.

[bluebottle]

Re: Urgent: Is this legal?

I have to agree with Peter with regard to this Starter Interrupt Device. My gut-feeling tells me that such devices are not legal, in the UK, except as anti-theft measures. Using them in the circumstances outlined in the agreement Labman has posted would not, in my considered judgement, be lawful. In coming to this judgement, I have taken account of the Motor Vehicles (Construction & Use) Regulations and other road traffic legislation. I can find nothing which allows the fitting or use of such devices, in the circumstances referred to in the agreement. I would not like to say whether a finance company could argue its way out of a legal challenge in this respect.

[Guest]

Re: Urgent: Is this legal?

Hi
There should be a figure on the agreement apparently that represents half the amount due.

Also you do not have to hae paid this figure to VT it just means that the amount you owe is half the total due minus what you have paid.

(This i am sure of)

Peter

[bluebottle]

Re: Urgent: Is this legal?

If you can possibly keep making a payments until you reach the stage of voluntary termination do so . I believe that the section above only applies if the agreement is up to date. Also watch some companies on hearing that you want to VT the vehicle will try to get yo to pay late then , default and terminate the agreemnt removing your right to VT.

There's a name for that tactic - it's called Fraud. If they get caught and hauled in front of a no-nonsense judge, they get hammered.

[Guest]

Re: Urgent: Is this legal?

If you can possibly keep making a payments until you reach the stage of voluntary termination do so . I believe that the section above only applies if the agreement is up to date. Also watch some companies on hearing that you want to VT the vehicle will try to get yo to pay late then , default and terminate the agreemnt removing your right to VT.

HI

No you can VT even if you are in arrears, although they will tell you othewise.
Even if a default notice as been issued as long as you send the VT letter in before the remedy peiod has ended and the agreement is terminated by them.

You still owe the arrears of course but they cannot charge the total due under the contract, just half of it.

Peter

[labman]

Re: Urgent: Is this legal?

Thanks all,

There is a figure which she has to pay - it was £3000 and something, possibly £3700ish. Is this figure what she has to pay now, or what she had to pay before the part ex etc... had been done? I assume it is what she has to pay now, in which case this firm, while legal, is charging horrendous amounts to 'take advantage' of the sub prime market.

Off to Gloucester now, so will catch up with everything later. Thanks yet again folks!