Hire purchase agreement not clear and missed payments

[jgw]

Hello

I missed a direct debit on my Hire Purchase for a car of £127, I have been charged a £20 missed payment fee, £12 letter fee and £12 telephone call fee and I'm late by two days.
I have read through the CCA 1974 and believe I may have found an error on their part. They list the number of instalments and number of payments but don't state a date of payment. It says "Instalments are payable at monthly intervals commencing 1 month after the date of the agreement"

Ignoring the fact this may be an improperly executed agreement I last paid on the 1st September, (this month I changed the payment date to 21st), so technically if I pay by the end of this month then I am within the "monthly interval" and no charges should apply.

My take is it says "monthly intervals" and not "regular monthly intervals" so it defines an interval as the calendar months and not dates. In other words I am paying X amount each month.

Any views on this?

Thank you

[Kafka]

Re: Hire purchase agreement not clear and missed payments

:bump2:

[stevemLS]

Re: Hire purchase agreement not clear and missed payments

I don't think that argument will assist, most people would interpret "monthly intervals"as being one payment due on each monthly anniversary of the agreement.

Sorry.

[jgw]

Re: Hire purchase agreement not clear and missed payments

I don't think that argument will assist, most people would interpret "monthly intervals"as being one payment due on each monthly anniversary of the agreement.

Sorry.

Credit agreements are not meant to be interpreted, they are meant to be black and white as required by law.

[Wombats]

Re: Hire purchase agreement not clear and missed payments

It is your right to challenge it, but IMO you wouldn't have a leg to stand on - sorry.

The fees may be a different matter. If payment was agreed in a phone call (I assume this came first chronologically), then why the need to write a letter and charge you for it?

I think you may have a case there, but otherwise I doubt you'll get anywhere with the monthly interval part I'm afraid, though I am unaware of it meaning anything other than on the same day each month. I'll watch with interest. :tinysmile_twink_t2:

[jgw]

Re: Hire purchase agreement not clear and missed payments

According to consumer credit act

(c)

the total sum which is to become payable under the agreement by the debtor, and the various amounts comprised in that total sum, with the date, or mode of determining the date, when each becomes due.

they have only determined it's paid monthly

[stevemLS]

Re: Hire purchase agreement not clear and missed payments

Hello

I missed a direct debit on my Hire Purchase for a car of £127, I have been charged a £20 missed payment fee, £12 letter fee and £12 telephone call fee and I'm late by two days.
I have read through the CCA 1974 and believe I may have found an error on their part. They list the number of instalments and number of payments but don't state a date of payment. It says "Instalments are payable at monthly intervals commencing 1 month after the date of the agreement"

Ignoring the fact this may be an improperly executed agreement I last paid on the 1st September, (this month I changed the payment date to 21st), so technically if I pay by the end of this month then I am within the "monthly interval" and no charges should apply.

My take is it says "monthly intervals" and not "regular monthly intervals" so it defines an interval as the calendar months and not dates. In other words I am paying X amount each month.

Any views on this?

Thank you

So the mode of determination is clear, monthly starting one month after the date of the agreement.

[jgw]

Re: Hire purchase agreement not clear and missed payments

Interval - The amount of time between two specified instants, events, or states.

Monthly - once a month; every month.

Therefore this translates as "the payments are made each month, once a month"

monthly does not refer to dates in anyway shape or form. It purely means once a month.

One month after the agreement as you put it is purely the next month, one month after October is November. One month after 30 October is purely November. A month doesn't have a specific number of days. Simple as

[jgw]

Re: Hire purchase agreement not clear and missed payments

The agreement started on the 28th so throws out your argument.

[jgw]

Re: Hire purchase agreement not clear and missed payments

So the mode of determination is clear, monthly starting one month after the date of the agreement.

So if I pay on 1st sept and 30 October that IS monthly as according to the dictionary.

months are not classed as a number of days and neither are intervals.

[jgw]

Re: Hire purchase agreement not clear and missed payments

If you go the gym every week but on different days are you not going weekly? Or does it only count as weekly if you go the same day every week?

My rent agreement for example States I pay weekly by Friday. If it just said Weekly I could pay whenever.

[Wombats]

Re: Hire purchase agreement not clear and missed payments

So legislation 'may' allow you to claim this monthly. Do the contractual terms and conditions specify anything? They are binding too in this case.

You then get into the regular argument of legislation vs contractual terms. I honestly think you'll have a real battle on your hands, but it's an interesting one.

[jgw]

Re: Hire purchase agreement not clear and missed payments

Didn't think about reading the T&C's.

it states "payable by installments and at the times indicated"

again a poor choice of words as there are no "times" on any agreement surely.

[Wombats]

Re: Hire purchase agreement not clear and missed payments

Are there any dates indicated then? A DD mandate for example?

[jgw]

Re: Hire purchase agreement not clear and missed payments

No dates just monthly intervals, don't even have a Direct Debit form. Even the agreement date is wrong by two days.
I signed it the dealer sent off, creditor signed it and sent me a copy. They are claiming the agreement started two days earlier.

Clearly they are incompetent.