Hire Agreement regulated by the consumer Credit Act 1974

[jeskageorge]

Hello, I am hoping someone can give me some firm advice.

 

My husband bought a van from vans direct 2 and a half years ago. Payments have been made on time every month.

 

I changed back account last month and called -Network vehicals (finance company)to ammend their direct debit records. We recived a call a couple of days later from a leasing company saying we have been fraudulent as the van was personal with my husbands name only and the direct debit came from our buisness account. Thus we must sign a new agreement with a lease company.

 

The agreement is a 'hire agreement regulated by the consumer credit act 1974'.

We were sold it as buying.

We understand that the contract was signed ( although we have no signed copy) and we may have been missold. The company which did this are vans direct which have since dissolved and reset back up. So as we see it there is little we can do with regards to the misselling.

 

Our main concern is the aggressive way they are pushing us to sign a new contract headed 'Finance Lease Vehicle Order Form ' ( not covered by cca 1974 )

 

We feel very uneasy about the whole thing. We do not want to finance lease a van. if we are doing so now it is through being miss led.

 

I have spoken to my accountant who says as we set up the direct debit through vans direct we were bona fide in doing si. We have to simply change the direct debit into a personal account - Done.

 

This has left a bitter taste

We have heard we can hand the van back as we have paid 35 of the 25 payments - It is in good shape and up to date with services and full mot.

 

Is this the case?

 

I know with Hire purchase you can

Lease you cant

But a personal Hire agreement covered by cca 1974 i cant find a firm answer.

 

The agreement does not list APR or total amounts payable.

It is also the incorrect model although reg. is correct.

 

My question is can we volentary hand back the van?

 

many thanks for anyone who can shed some light!

[chez262]

Are you sure they have a copy of the original agreement?

[jeskageorge]

Thanks

 

No, I have sent a letter today asking if they can send me a copy of agreement 'with signature' under the civil procedure rules.

 

My hubby will have signed it. Weather they still have a copy is another matter.

 

We also have no problem with the van , we just feel conned. If we can chuck it all back at them and walk away it will balance things out.

[chez262]

Yes definately send them a CCA request. If they don't have the contact it's game over, you keep the van and you owe them nothing!

Fingers crossed, just wait for the response.

Someone on here will be able to explain time restrictions for them to respond to the request etc.

[postggj]

Please do not sign a new agreement untill you have a coy of the old

 

this smells that they know the agreement is dodgy and by signing a new agreement, will cancel out the first

 

if they cant produce the agreement within 14 days, the account goes into dispute

 

send the cca request by recorded delivery

[jeskageorge]

Thank you. I have put in my letter that I would ask for a response by 21st October. I got the letter template on this site ( great site by the way) .

 

I am more concerned if I can do a volentary hand back?

 

Don't think I have the guts to not to pay and keep the van!

 

We feel conned and need to walk away with a clear concience . Old fashioned I know!

 

Thank you for your help

[postggj]

The agreement will have the termination figure to voluntry terminate on it

 

its 50 % of the agreement

 

thats why we need to see the original agreement to confirm

[jeskageorge]

Many thanks

 

I do have a copy of the agreement ( but not the signed one)- There is no termination figure on it.

and also no total borrowed figure. or APR. Or date!

 

That is why i sent the request for a signed one.

 

It states

One advanced rental of £985.31 payable on or before the date of this agreement followed by 59 monthly rentals of £328 inc vat the first payable 1 month after the commencement date and the rest at consecutive monthly intervals after that followed by a final rental of £2687.23 inc vat payable on the date the minimum period of hire expires.

A documentation fee of £88.13 inc vat is payable with the advance rental.

 

a rental of £437.93 is payable annually in advance for each year or part year of the secondary term commencing when the minimum term expires.

 

We did question this with vans direct and they told us that the van we bought and the anticipated milage ( which is correct) would be worth much more that the final payment. So pay it off then sell the van for a £1.00 to avoid secondary term then resell it, Then use that amount for a deposit on a new one. They told us alot of the terms used were just lingo!! - Our fault, we know.

 

The 'new leasing company have told us we cant even sell the van and pay agreement off. We know this has to be rubbish so we have also asked for an early termination figure along with signed agreement.

 

There is a paragraph on additional amounts payable if we breach the agreement, we are not intending to breach, just bring to an early finish one way or another, so this does not apply.

 

many thanks again

Jayne