Thread: Help With Welcome Finance

Hi Guys sorry if im in the wrong place but wasnt sure where to post ;-)


I had a loan off Welcome Finance back in 2002 for a car,we had no choice but to take out the PPI as it wasnt explained it was optional at the time and a it was made condition of buying the car.
Anyways after 7 hours stuck in a building and given 5 cars to choose from we eventually signed the forms etc was done in a rush really because we'd been there all day.

Total cash price of goods £4330.00
Total deducted as Px Car £ 200.00
Amount Of Credit £4130.00
Acceptance Fee £ 150.00
Finance Charge £3081.76
Total Charges £3231.76
Total Amount Payable £7561.76
APR 37.0%

Payment Protection Ins £1512.89
Mechanical Breakdown £ 450.00
Emergency Recover £ 330.00
Shortfall Ins £ 145.00
Collision Call £ 40.00
Total Premiums £2477.89
Finance Charge £4406.08
APR 34.1%

Total £11+k monthly payments £249

From the start we had faults with the car and had to go between Yes Car Credit and Welcome Finance but nobody would admit it was their jobs to fix faults so nothing got done.This went on for nearly 14mths until i wrote off to a Women's magazine called "Womens Own" a guy in the magazine had a column for consumer complaints and tried to help if he could.

So basically he took our case on against Welcome and Yes Car Credit till finally an independant Mechanic came out to assess the car and straight away said it wasnt road worthy and should never have been on the road.

Within a week Welcome Finance collected the car and finance was Nil.......

My question is can we claim back PPI and all the other insurances we were told we had to have??
Also would the agreement of been enforceable having the loan and PPI on the same signed hired purchase agreement??

I have already sent them the 1st request for refund also the lba months ago but they replied with a nasty letter basically saying PROVE WE MIS-SOLD IT!!!!!

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Originally Posted by angelsent

Hi Guys sorry if im in the wrong place but wasnt sure where to post ;-)


I had a loan off Welcome Finance back in 2002 for a car,we had no choice but to take out the PPI as it wasnt explained it was optional at the time and a it was made condition of buying the car.
Anyways after 7 hours stuck in a building and given 5 cars to choose from we eventually signed the forms etc was done in a rush really because we'd been there all day.

Total cash price of goods £4330.00
Total deducted as Px Car £ 200.00
Amount Of Credit £4100.00
Acceptance Fee £ 150.00
Finance Charge £3081.76
Total Charges £3231.76
Total Amount Payable £7561.76
APR 37.0%

Payment Protection Ins £1512.89
Mechanical Breakdown £ 450.00
Emergency Recover £ 330.00
Shortfall Ins £ 145.00
Collision Call £ 40.00
Total Premiums £2477.89
Finance Charge £4406.08
APR 34.1%

Total £11+k monthly payments £249

From the start we had faults with the car and had to go between Yes Car Credit and Welcome Finance but nobody would admit it was their jobs to fix faults so nothing got done.This went on for nearly 14mths until i wrote off to a Women's magazine called "Womens Own" a guy in the magazine had a column for consumer complaints and tried to help if he could.

So basically he took our case on against Welcome and Yes Car Credit till finally an independant Mechanic came out to assess the car and straight away said it wasnt road worthy and should never have been on the road.

Within a week Welcome Finance collected the car and finance was Nil.......

My question is can we claim back PPI and all the other insurances we were told we had to have??
Also would the agreement of been enforceable having the loan and PPI on the same signed hired purchase agreement??

I have already sent them the 1st request for refund also the lba months ago but they replied with a nasty letter basically saying PROVE WE MIS-SOLD IT!!!!!

Hello,

So they sold you a dud car and got a bloody nose for that, serves them right. but they kept the ppi and the interest. They have the nerve to say prove we mis-sold it. We they have to confirm to you they did not mis-sell it.

Send your lba and give them 14days. Then you choice is the fos or court. You got them back re the car, so threaten them with the fos, court or you could always threaten to back to womans own and give them more bad publicity.

Just a thought - wouldn't the PPI be a linked transaction. I may be wrong, but since they failed to meet their commitments within the agreement, surely you would not therefore need the PPI.

Again, I am surmising here, but I would have thought that you can get everything else refunded under simple breach of contract. Without the offer of a car - you would never have entered into an agreement for the PPI.

You may only need a phone call to Trading Standards.

Hello,

Alan is this not termed as extortionate credit The car cost £4,330 but the total payable was £11,000+ There is something about the total charge for credit in the loan agreement. Any opinions???????

Total cash price of goods £4330.00
Total deducted as Px Car £ 200.00
Amount Of Credit £4100.00
Acceptance Fee £ 150.00
Finance Charge £3081.76 Is this the interest they charged.
Total Charges £3231.76
Total Amount Payable £7561.76
APR 37.0%

Payment Protection Ins £1512.89
Mechanical Breakdown £ 450.00:o
Emergency Recover £ 330.00:o
Shortfall Ins £ 145.00 What the heck is this????
Collision Call £ 40.00
Total Premiums £2477.89
Finance Charge £4406.08 Is this the interst charged or the total of the amount owed for these c**p( oops sorry) services
APR 34.1%

Total £11+k monthly payments £249

I cannot believe for a car that was a dud they charged you over £11,000 pounds, Did the write off the car payments or what did they do?????

Can you post up your credit agreement to let a few more experienced cagger have a look please, amend your personal details

Certainly I would agree that a claim under that would be successful - but I am sure that this is straight-forward breach of contract, and the parties should go back to the position they were pre-contract. The PPI would only be needed if the car had been roadworthy and suitable for purpose - no car, no agreement, no PPI.

Hi Hellhasnofury and Alan

I can scan agreement tomorrow and post it,i know my agreement is exactly the same as another members who has posted his/hers already in another Welcome thread but his/hers is minus the PPI that we got charged. Username postggj page 4 http://www.consumeractiongroup.co.uk...r.php?u=181211

Total cash price of goods £4330.00
Total deducted as Px Car £ 200.00
Amount Of Credit £4100.00
Acceptance Fee £ 150.00
Finance Charge £3081.76 Is this the interest they charged. YES
Total Charges £3231.76
Total Amount Payable £7561.76
APR 37.0%

Payment Protection Ins £1512.89
Mechanical Breakdown £ 450.00
Emergency Recover £ 330.00
Shortfall Ins £ 145.00 What the heck is this????
Collision Call £ 40.00
Total Premiums £2477.89
Finance Charge £1928.19 ( sorry i missed this bit out) Interest
Total amount £4406.08 Is this the interst charged or the total of the amount owed for these c**p( oops sorry) services TOTAL AMOUNT
APR 34.1%

Alan sorry im a bit confused regarding breach of contract...... When the independant assessor came to check car he said it wasnt road worthy,so Yes Car Credit came and took the car back off us and Welcome settled the finance so we didnt owe anything after that but never got anything back,to be honest we was paying £249 for 15ths for nothing and should of got every penny back

Originally Posted by angelsent

Hi Hellhasnofury and Alan

I can scan agreement tomorrow and post it,i know my agreement is exactly the same as another members who has posted his/hers already in another Welcome thread but his/hers is minus the PPI that we got charged. Username postggj page 4 http://www.consumeractiongroup.co.uk...r.php?u=181211





Alan sorry im a bit confused regarding breach of contract...... When the independant assessor came to check car he said it wasnt road worthy,so Yes Car Credit came and took the car back off us and Welcome settled the finance so we didnt owe anything after that but never got anything back,to be honest we was paying £249 for 15ths for nothing and should of got every penny back

So you paid the £3,735 in 15months and then the car was taken and welcome settted the finance, Was that the whole loan and included the ppi. So you owe them nothing now then.

Did you ask them to refund the £3,735 back to you?????

Yes, he should have got every penny back - and you should not owe a penny to them.

I would write to Welcome Finance demanding a refund of the £3735 you have paid - and a confirmation that the agreement is fully terminated and that any CRA entries relating to the agreement are deleted.

State that if they refuse, you will commence an action against them under the terms of section 75 of the consumer credit act, for breach of contract, and damages under section 2 of the Misrepresentation Act 1967 (since they have claimed that you are not entitled to a refund).

We can work the fine detail out later - if needed.

In the meantime, I would ring Trading Standards.

Hi Guys really appreciate your time and advice on this
Hellhasnofury Quote

So you paid the £3,735 in 15months and then the car was taken and welcome settted the finance, Was that the whole loan and included the PPI. So you owe them nothing now then.

Did you ask them to refund the £3,735 back to you?????

Yes we paid that and im looking at the bottom of the payment statements i requested and it says:

Fee rebate........ ( £71.56)
Insurance rebate (£679.94)
Loan Settlement. (£6,000)
Correction......... (£523.08 )

I guess this is what Welcome got back because the PPI was paid up in advance from Welcome at the start of our payments and no we didnt get a penny back once car went back.

We paid £154.00 monthly for car and £95 monthly for PPI.

Thanks also to Alan,i thought we would only be entitled to some of the PPI back which back in May i requested around £700 plus interest,not all we paid??? They will just say we enjoyed the use of car for 15mths even though it was on a drive faulty on many occassions till we could afford to deal with one of the faults.

They can say all they want - my reading of section 53 of the Sale of Goods Act 1979, is that you can claim your losses "directly and naturally resulting, in the ordinary course of events, from the breach of warranty".

This would suggest that all your costs can be recovered, including any times you have had to take public transport, hire a replacement car, indeed any extra costs that this has put you to.

I cannot see a court agreeing that you should pay for the "privilege" of driving round in a dangerous car - if anything, you should be compensated for the potential danger that you were put under during that time. Not to mention the embarrassment that would have been caused if you had been stopped by the police for driving an unroadworthy vehicle.

Sorry - you said you had to deal with one of the faults?

If you had to pay repair bills then include that as well.

I think they are playing on the fact you have only challenged the PPI - if you start quoting section 75 of the CCA, and their liability under the sale of goods act etc they may well change their tone very quickly.

I would write again, also stating that you believe their previous responses to be misrepresentation, and that if they do not resolve all matters by January 5th then you will take legal action - that gives them more than enough time, and with all the previous correspondence you have done more than you need to do to meet pre-action protocols.

Having said that, I would also seriously consider ringing Trading Standards and explaining the whole saga - it may only take one phone call from them to resolve this, and whatever the outcome you still have the legal route.

Have you spoken to Trading Standards?