Written by John Kruse, one of the leading experts on Bailiff Law, this consumer friendly guide is essential reading for anyone who comes into contact with a bailiff.
The book is easy to understand and clearly explains the rights
a bailiff has, and also what they cannot do when collecting debts and repossessing goods etc.
Garage claim vat isnt covered on car insurance repair +wont release car till paid!
Hi
My son's girlfriend recently had an accident and had her claim approved to be repaired at their (NFU insurance) named garage. Her policy has a £200 excess.
The garage have rung up and told her she cant have the car until she pays a) the £200 excess b) the VAT on the £200 excess and finally, c) the VAT on the rest of the bill!.
They say that the insurance company only pay out for the actual repair BEFORE VAT.
AND, for each day she is unable to pay for it, they are going to add £100 'storage' charge!
Please help me and tell me this is wrong? If so, what can she do? They really have her her by the short and curlies here.
< < < < If I can help I will and if I have helped please tip my scales. Please keep this site alive by downloading the great new CAG toolbar - keeps all your subscribed threads in one easy to use place. http://consumeractiongroup.co.uk/cag_plugin.php Use the search facility regularly and CAG generates much needed money!
Re: Garage claim vat isnt covered on car insurance repair +wont release car till paid
I would contact her insurance company in the first instance as it is one of their recommended garages. I presume she got quote and the insurers approved it, less £200.
If it is a company car then she may be liable for the VAT element, but hopefully someone can clarify the matter.
IMO the £200 excess is including vat and thats all you should have to pay with the rest of the bill going to the insurance company.
3. Why do I have to pay the VAT as well as my excess?
This generally applies to Company owned vehicles only. If you have been asked to pay the Excess and the VAT on the repairs, it means the car is registered by the Insurer as being owned by a Company and that the Company that is VAT Registered. Because Insurance Companies cannot reclaim the VAT on our repair invoices, they insist the VAT element is invoiced to the client instead. Assuming the client is indeed VAT Registered, they should be able to reclaim the VAT.
Is the car company registered, or is it privately owned?
Re: Garage claim vat isnt covered on car insurance repair +wont release car till paid
Thank you for your very quick replies!
Yes, it is a privately owned vehicle.
Having just telephoned NFU for the third time, they have apologised and admitted that they made a mistake in their notification, and that it is not the garage at fault.
They have asked for the invoice to be submitted and they will make a refund of all the VAT paid.
So, a result! Thanks again.
< < < < If I can help I will and if I have helped please tip my scales. Please keep this site alive by downloading the great new CAG toolbar - keeps all your subscribed threads in one easy to use place. http://consumeractiongroup.co.uk/cag_plugin.php Use the search facility regularly and CAG generates much needed money!
Garage claim vat isnt covered on car insurance repair +wont release car till paid!
Reply With Quote
Re: Garage claim vat isnt covered on car insurance repair +wont release car till paid
