Repossesion or V/T

[midnight999]

Hi all, not sure if this is the correct forum, but here goes, in March of this year I was hit with a big council tax bill, which I had to pay as it was going to go to an attachment of earning's, in order to pay this bill it would mean having to contact my other creditors and arrange to miss a payment for that month as the circumstances were exceptional, not a problem for most and for a small admin charge were happy to spread the missed payment over the rest of the term, the problem was with Close Motor finance, whom when I spoke to them on the telephone told me basically that it was tough, and any payment that I missed would produce charges and interest and require paying double the next month, coupled with the branch managers disgusting attitude of trying to chastise me like a naughty schoolboy.

 

 

I ended the telephone conversation and wrote a letter to them stating my situation, and that I would be happy to add this payment to the end of the term, or spread it over the remainder of the term, if neither of these options were acceptable then my only other course of action was volountery termination, and to take that letter as notice to do so if they were unable to offer help, I recieved no reply from close other than a generic default notice, no response to the queries posed in my first letter.

 

A couple of days after my second payment was due, and still considering what to do I had a knock on my front door, a gentleman told me he had been instructed to reposess my vehicle, I was a little shocked and told him that I would like to speak to them before allowing it to be taken, I spoke to them next morning and asked how the situation could be resolved, I was told that unless the £400 from last month and this month were paid immediately, together with £350 worth of charges, the vehicle would remain for repossession.

 

I informed them that as I had V/T'd I would be happy to return the vehicle to a place within reasonable distance, they refused and said they would collect it, which they duly did that same night. Once again I sent a letter immediately, asking where they would like the documentation for the vehicle sent ( I didn't allow it to go with the vehicle), and confirming my liabilty to 50% of the total amount repayable less monies already paid, and making offer of payment to the sum of £40/month, they have replied stating that the vehicle was repossessed following default, and V/T was only an option after paying half the amount and that I will be liable for the full amount less value recieved at auction.

 

This is highly amusing as the contract clearly states I have the right to end the agreement and IF you have paid half the amount you won't have to pay any more, by no means does it say "when" you have paid half the amount, I guessed all along that they would try this cheap trick, can anyone confirm what I have said and offer any advice.

Edited May 11, 2009 by citizenB
formatted for easier reading

[citizenB]

Sorry, I am unable to answer your question but am nudging your thread.. hopefully it will get some attention.

[SteeveF]

HI to obtain some advice you need to explain how long the agreement has been running, have you paid over a half of the agreement (deposit+repayments) . You stated you missed the second payment? Is the agreement new?

But under any finance agreement covered by the CCA, you can Voluntarily Surrender the vehicle at any time but you will still owe what is due subject to the companies temrs and conditions.

Voluntary Termination is only afforded to hirers that have paid over 50% of their agreement and are not in arrears.There are also obvious fair stipluations as to the condition of the vehicle once returned which can be abused by the lender .

Ste

[midnight999]

The agreement has been running for 1 year, the second payment was about 2 days overdue when the vehicle was collected, as far as I understood you could VT at anytime and limit your liability to 50%, the vehicle was returned in perfect condition

[caro]

Moved to Legal Issues forum where you may get more advice.

[SteeveF]

No please read what I said earler, you can only VT When you have paid at least 50% of the agreement.! It sounds like you only made 1 payment on the agreement and they collected it when the second one was missed.

Ste

[midnight999]

No, the agreement had been running for 1 year, I asked to miss one payment to clear another bill but they refused to help,I had to miss it anyway and decided as they were unwilling to offer any help, only apply charges and interest that I would V/T. my agreement doesn't state that I can only V/T once I have paid 50%, only that IF I have paid 50% I won't have to pay any more, as far as I am aware unless your contract states that V/T is not an option that I have the right to end it at any time, return the goods in good order and limit my liability to 50% less monies already paid.

[Helford]

have a look here:-

 

http://www.bdl.org.uk/images/16_ew_hirepurchasedebt.pdf

[midnight999]

Great Stuff, thanks Helford, that confirms what I thought, looking forward to the battle over it now.

[postggj]

Not Putting A Damp Squid On This

 

On The Agreement It Will Have Written On It The Amount Needed To Be Paid To Vt The Vehicle

 

Thats 50 % As The Norm

 

When The Took The Car Did You Sign Any Thing

Did You Get A Default Or Termination Notice Before The Repo Of The Car

[GamekeeperToPoacher]

Hi Midnight,

There appears to be some confusion here.

 

I also have a vehicle thread going.

From what I read I read I think that you are incorrect in your assumptions. I have in the past VT'd a car basically because it was in negative equity and I paid just enough to make the total that I had paid 50% of the agreement - as I was entitled to. The finance co were well peed off and tried to say that the car was not in 'reasonable condition' however I pointed out that it was for a 4 year old motor and offered to get it independently examined although I knew it had already gone through the block.

 

Now to you problem. It would be best if you post on photobucket the agreement and the default notice that they sent you after removing all identifying marks. We will then take a look at it and see what we can come up with.

 

In my current thread we identified that the DN was at fault and I have pointed this out in AQ and am now waiting to see what there next move is.

 

GK

 

If this advice has proved useful please ring my scales over there

[postggj]

Gamkeepper

 

So You Are At The Court Stage And Have A Dodgy Default Notice

 

Lucky. Lucky Guy

[SteeveF]

Great Stuff, thanks Helford, that confirms what I thought, looking forward to the battle over it now.

 

 

Thats what I said isnt it???????? You cant VT unless you have paid at least 50% of the agreement. Its all in the CCA .Maybe you are confusing a Surrender with a VT? You cant hand the car back and expect to be limited to just 50% and string out your final liability in the court . YOu must physically pay the agreement up to 50% and then return the car and then argue about the condition with the finance company as this seems their normal ploy!

Ste

Edited May 21, 2009 by SteeveF

[midnight999]

Hi Steve, quote from official guidance,

 

WARNING You do not need to have actually paid the 50% to be able to terminate your agreement, although some creditors say you do. All that is necessary is for you to give notice to the creditor in writing that you are terminating the agreement.

all my agreement said was "if" you have paid 50%, this is all old hat now, they sold it on and I am getting letter's from DCA's, hope they take me to court so I can prove my legal VT, they have also defaulted me on my credit file, so will be looking for recourse on that.