VT with Motonovo/Carlyle Finance

[bwbw]

Hey all, new to the forum so a big howdy to start with! HOWDY!

 

I purchased a car through Evans Halshaw in May 2011 and the Hire Purchase was with Carlyle at the time who subsequently was bought over by Motonovo.

 

I recently wrote to them advising them of my wish to voluntary terminate the contract using the following letter:

 

"I am writing to notify you that I am exercising my right to terminate the above Agreement under Section 99 of the Consumer Credit Act 1974. You will understand that the aforementioned section permits the debtor to terminate the agreement at any time before the last payment is due. There is no restriction regarding the exercising this statutory right, particularly none in respect of any perceived arrears or monies due on termination

 

I we understand that I shall will be liable to you for the amount calculated under the formula in Section 100 of the Consumer Credit Act 1974. Please forward notice of any sums lawfully due for consideration and payment. From our telephone conversation this amount is £369.38 however can you advise if this takes into account September’s payment.

 

The above agreement will be terminated 14 days from the date of this notice.**

 

Please send me details of how the vehicle can be returned to you.

 

You will be aware that statute prevents you from levying a charge for the recovery of this vehicle; guidelines also state that if you require me to deliver this vehicle it must be no more than a short (reasonable distance) from my registered address.

Please confirm receipt of this request by telephone/email or in writing"

 

What I was unaware of was that they are trying to imply is the following:

 

1. Excess mileage charges, apparently I'm limited to 12000 miles per year (1000 per month) which i was not aware of when i procured the car.

2. The letter i received claimed that they would apply charges if the vehicle was not serviced in accordance with manufacturers reccomendations yet I can find no mention of this in the agreement letter which i had them sent out to me. What it states is that if i've paid more than or up to 50% and taken reasonable care of the vehicle then i can return it with nothing else to pay.

 

Am I right in thinking that the Consumer Credit Act overrules any of their said terms and conditions?

 

I.e. as there is no mention of mileage etc within this and provided i've taken reasonable care and paid more or up to 50% of the total amount then I can hand the vehicle back?

 

Thanks in advance.

 

Chris

[sequenci]

Hi Chris. Welcome to CAG.

 

My understanding is exactly the same as yours. s99 overrides the mileage stuff (if it existed) - and as far as I'm aware you just need to ensure there is nothing worse than reasonable wear and tear as far as the car is concerned.

[bwbw]

Thanks for the response.

 

Is there any legislation within the CCA that states it overrules anything else do you know?

 

As far as reasonable wear and tear, theres a chip on two of the alloys and a scratch on the bonnet, apart from that it's immaculate.

 

C

[dx100uk]

then if you've paid +50% you owe nowt more!!!

 

watch moto they can be buggers

they'll try it on for sure

 

just read the other threads on here regarding them.

 

dx

[sequenci]

I think the liabilities are outlined in s100:

 

http://www.legislation.gov.uk/ukpga/1974/39/section/100

[bwbw]

In English what does this mean?

[bwbw]

Also, since the date of the letter which I sent to them outlining my wish to VT they've taken a further direct debit from my account.

 

Are they allowed to do this?

[sequenci]

In English what does this mean?

 

The lender can only expect 50% + anything extra for stuff beyond reasonable wear and tear.

 

Oh, that's a bit naughty - You should seek a refund from your bank under the direct debit guarantee - and then cancel the mandate.

[bwbw]

Would the mileage count under beyond reasonable wear and tear?

[sequenci]

Would the mileage count under beyond reasonable wear and tear?

 

Trying to get a definitive answer to this. I've can't see how they could hold you to the mileage clause but will come back to you a little later with the final answer

[ericsbrother]

Tell the bank to stop the payments and recover the last one. The DD's will go on unless you do something about it.

[bwbw]

Thanks for the help guys....

 

Sequenci - Did you manage to get an answer on this?

 

Thanks,

[sequenci]

Hello there. Not yet. My gut feeling is that they cannot expect you to pay anymore than the amount clained under the VT rule within the contract - e.g. the 50% amount lsted on the credit agreement.

 

Others may correct me though.